Our company, having experienced consultants - accountants, undertakes examining all your financial data, the preparation of a financial plan on how to use real estate as a natural or legal person, the provision of full accounting support, the assessment of the annual tax burden, and continuous updating throughout the year.
For more information, please contact us.
When is a real estate lease defined as short-term in the context of a sharing economy?
It concerns real estate leases concluded through digital platforms for a specific period of time, less than a year and when no other services are provided except accommodation and the provision of bed linen.
Short-term leases that are concluded privately and not through digital platforms are treated as common urban leases and are declared with a Real Estate Lease Information Statement, unless other services are provided in which this income is considered a business activity (POL.1187 / 2017).
Income from Short-Term Lease is subject to VAT?
No. (POL.1059 / 2018 "Application of VAT provisions to short-term leases of real estate in the context of the sharing economy").
Are there any other restrictions besides renting and the provision of bed linen?
Not yet, but by joint decision of the Ministers of Economy and Development, Finance and Tourism, for reasons related to the protection of housing, geographical areas can be defined, where restrictions will be placed on the availability of real estate for short-term lease as follows:
- The short-term lease of more than two (2) properties per income beneficiary TIN should not be allowed.
- The lease of each property should not exceed ninety (90) days per calendar year and for islands with less than ten thousand (10,000) inhabitants, sixty (60) days per calendar year. Exceeding the duration of the previous paragraph is allowed, provided that the total income of the lessor or sub-lessor, from the total of real estate available for lease or sublease, does not exceed twelve thousand (12,000) euros during the relevant tax year.
How is the income obtained from the short-term rental of real estate taxed in the context of the sharing economy?
- Up to 12,000 euros, with a rate of 15%
- From 12,001 euros to 35,000 euros, with a rate of 35%
- From 35,001 euros and above, with a rate of 45%
I manage a few properties. Is it worth it to start a company?
Because the data for each of us is different, our company, having experienced accountants - consultants undertakes examining all the parameters to guide you in making the right decision.