Airbnb Host Taxes in Nevada - 2025 Guide

Updated for 2025 (Filing 2024 Taxes)

Is Airbnb Host income taxable in Nevada?

Yes, even though Nevada doesn't have a state income tax, income earned as an Airbnb host is absolutely taxable at the federal level. The IRS considers Airbnb hosting a business, and you'll need to report your earnings and expenses using Schedule C (Profit or Loss From Business) when you file your federal income tax return (Form 1040). You'll report your net profit (income minus expenses) on Schedule C, and that amount will then be included in your Adjusted Gross Income (AGI) on Form 1040.

Nevada Specifics: Because Nevada has no state income tax, you won't file a state income tax return related to your Airbnb income. However, you are still responsible for paying federal income and self-employment taxes.

Top Tax Write-offs for Airbnb Hosts

As an Airbnb host, you can significantly reduce your tax liability by claiming eligible business expenses. Here are some common deductions:

• Mortgage Interest or Rent: If you own your property, you can deduct the portion of your mortgage interest that corresponds to the time the property is used for rental. If you rent your property, a portion of your rent may be deductible. This is typically calculated based on the percentage of the property used for rental purposes.
• Utilities: Expenses like electricity, gas, water, internet, and trash removal are deductible, again based on the percentage of time the property is rented.
• Cleaning & Maintenance: Costs associated with cleaning services, repairs, and general maintenance (e.g., plumbing, landscaping) are deductible.
• Mileage & Vehicle Expenses: When you drive for your Airbnb business (e.g., to clean, meet guests, purchase supplies), you can deduct mileage. For 2024, the standard mileage rate is 67 cents per mile (verify the final official rate from the IRS). Alternatively, you can deduct actual vehicle expenses (gas, oil, repairs, insurance, depreciation), but the standard mileage rate is often simpler.
• Airbnb Fees: The fees Airbnb charges you are a deductible business expense.
• Supplies: Items like toiletries, linens, and other guest supplies are deductible.

The 15.3% Self-Employment Tax Surprise

Many Airbnb hosts are surprised to learn about self-employment tax. When you work for an employer, they pay half of your Social Security and Medicare taxes. As a self-employed individual, you're responsible for both the employer and employee portions. This combined tax is 15.3% (12.4% for Social Security and 2.9% for Medicare) on your net earnings from Schedule C. However, you only pay self-employment tax on profits exceeding $400. You'll calculate this tax on Schedule SE (Self-Employment Tax) and include it with your Form 1040.

Good news: You can deduct one-half of your self-employment tax from your gross income on Form 1040, which helps reduce your overall tax liability.

Closing Tip for Nevada Residents

As a Nevada resident, you benefit from not having state income tax. However, diligent record-keeping is crucial for maximizing your federal tax deductions as an Airbnb host. Keep receipts for all expenses, track your mileage, and consider using accounting software designed for self-employed individuals. Consulting with a qualified tax professional (like myself!) can ensure you're taking advantage of all available deductions and complying with all IRS regulations. Wishing you a profitable and tax-efficient Airbnb hosting experience!