Turo Host Taxes in New Hampshire - 2025 Guide

Updated for 2025 (Filing 2024 Taxes)

Is Turo Host income taxable in New Hampshire?

As a Turo host, your earnings are generally considered self-employment income and are taxable at the federal level. You’ll report this income on Schedule C (Profit or Loss From Business) as part of your Form 1040. This schedule allows you to deduct business expenses, ultimately determining your net profit or loss.

However, New Hampshire is unique! New Hampshire does not have a general income tax on wages or self-employment income. This means while you must report your Turo income on your federal return, you generally won’t pay New Hampshire state income tax on it. New Hampshire does tax interest and dividends, but Turo income falls outside of that scope. It’s always best to confirm with the New Hampshire Department of Revenue for any changes or specific situations.

Top Tax Write-offs for Turo Hosts

• Mileage: This is a big one! For 2024, the standard mileage rate is approximately 67 cents per mile for business use. Keep a detailed log of all miles driven for Turo-related activities (picking up/dropping off vehicles, maintenance, cleaning, etc.). You can choose to deduct actual expenses or mileage – generally, mileage is more beneficial.
• Vehicle Depreciation: You can deduct a portion of the vehicle's cost each year as depreciation. There are different methods (e.g., standard depreciation, Section 179 deduction) – consult with a tax professional to determine the best approach for your situation.
• Cleaning & Maintenance: Expenses for cleaning supplies, car washes, oil changes, tire rotations, and other maintenance are deductible. Keep all receipts!
• Turo Fees & Software: The fees Turo charges you, as well as any software subscriptions you use to manage your listings (e.g., pricing tools, accounting software), are deductible business expenses.

The 15.3% Self-Employment Tax Surprise

Because you're self-employed, you're responsible for 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). 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 – it's a normal part of being self-employed, and you can deduct one-half of your self-employment tax from your adjusted gross income.

Closing Tip for New Hampshire Residents

While New Hampshire offers a favorable tax environment for Turo hosts regarding income tax, meticulous record-keeping is crucial for maximizing your federal deductions and accurately calculating your self-employment tax. Consider using accounting software designed for self-employed individuals. This guide provides general information and isn’t a substitute for personalized tax advice. I recommend consulting with a qualified tax professional to ensure you’re fully compliant and taking advantage of all available tax benefits.