Airbnb Host Taxes in New Hampshire - 2025 Guide

Updated for 2025 (Filing 2024 Taxes)

Is Airbnb Host income taxable in New Hampshire?

Yes, while New Hampshire doesn’t tax earned income like wages and salaries, income earned as an Airbnb host is considered self-employment income and is subject to federal income and self-employment taxes. You’ll report your Airbnb earnings and expenses on Schedule C (Profit or Loss From Business) of Form 1040. This schedule calculates your net profit or loss from your Airbnb activity. Even though New Hampshire doesn't tax this profit directly, it does affect your Adjusted Gross Income (AGI) which can impact other calculations (like certain credits or deductions).

New Hampshire Specifics: Because New Hampshire only taxes interest and dividends, your Airbnb net profit (as calculated on Schedule C) will not be subject to New Hampshire state income tax. However, accurate reporting on your federal return is crucial, as it impacts your overall tax situation.

Top Tax Write-offs for Airbnb Hosts

• Mortgage Interest & Property Taxes: If you own your property, you can deduct the portion of your mortgage interest and property taxes that relate to the time the property is used for Airbnb. If you rent out a portion of your home, you’ll need to allocate these expenses based on the percentage of your home used for rental.
• Utilities: Similar to mortgage interest and property taxes, you can deduct the portion of your utilities (electricity, gas, water, internet, etc.) that are attributable to the rental use of your property.
• Supplies & Consumables: Expenses for items provided to guests, such as toiletries (soap, shampoo), cleaning supplies, linens, paper towels, and coffee/tea, are deductible.
• Mileage: Keep a detailed log of all miles driven for Airbnb-related activities (e.g., cleaning, grocery shopping for supplies, guest meet-and-greets). For 2024, the standard mileage rate is approximately 67 cents per mile (verify the official IRS rate at IRS.gov). You can choose to deduct actual car expenses instead, but the standard mileage rate is often simpler.
• Airbnb Fees: The fees Airbnb charges you for using their platform are deductible as a business expense.

The 15.3% Self-Employment Tax Surprise

Because you’re considered self-employed, you’re responsible for paying both the employer and employee portions of Social Security and Medicare taxes. This is known as self-employment tax. You’ll calculate this on Schedule SE (Self-Employment Tax) of Form 1040. The combined rate is 15.3% (12.4% for Social Security up to the annual wage base, and 2.9% for Medicare). You only pay self-employment tax on profits exceeding $400. Don't be alarmed when you see this amount – it’s a normal part of being self-employed! You can deduct one-half of your self-employment tax from your gross income.

Closing Tip for New Hampshire Residents

As a New Hampshire Airbnb host, meticulous record-keeping is key. While your net profit isn’t subject to state income tax, accurate federal reporting is essential. Consider using accounting software designed for self-employed individuals to track your income and expenses throughout the year. Don't hesitate to consult with a qualified tax professional (like myself!) if you have specific questions or need assistance with your tax return. Proper planning can help you maximize your deductions and minimize your tax liability.