What the 1099-K is
Airbnb, VRBO, and similar platforms are third-party payment networks, so they issue a Form 1099-K reporting the gross amount they processed for you. The gross figure includes amounts before host fees and other deductions, so it is usually higher than what actually hit your bank account.
Report income even without a form
You owe tax on your rental income whether or not you receive a 1099-K. If you do get one, reconcile it: report the gross, then deduct platform fees, cleaning, supplies, depreciation, and other expenses so you are taxed on net profit, not gross.
Which schedule to use
Most short-term rentals without substantial services are reported on Schedule E. If you provide hotel-like services, the activity may belong on Schedule C and be subject to self-employment tax. Match your reporting to the level of service you provide.
Frequently asked questions
What is the 1099-K threshold?
Platforms report gross earnings once you cross the reporting threshold in effect for the year; the amount has changed recently, so check the current figure.
Do I owe tax if I did not get a 1099-K?
Yes. Rental income is taxable whether or not a form is issued.
Schedule E or Schedule C?
Schedule E for most short-term rentals; Schedule C if you provide substantial hotel-like services, which adds self-employment tax.
Sources
Educational information and estimates only. Not tax advice. Tax rules change and vary by situation; consult a qualified tax professional before acting.