QB 19/05
Issued
20 May 2019

What are my income tax obligations if I rent out my home or a separate dwelling on my property as short-stay accommodation?

Income tax rules when renting out your own home

If you can’t use the standard-cost approach in DET 19/02, or you don’t want to, your deductions will be based on your actual costs related to earning the income. Expenses that relate solely to your rental activity (eg, advertising fees) are 100% deductible. But mixed expenses, that relate to both your rental activity and your own use of your home (eg, mortgage interest, insurance and rates), need to be apportioned. This QWBA will help you understand how to calculate the percentage of your mixed expenses that’s tax deductible.

We recommend that you read our Short-stay accommodation overview to find the QWBA most relevant to your situation.