Airbnb Host Taxes in West Virginia - 2025 Guide

Updated for 2025 (Filing 2024 Taxes)

Is Airbnb Host income taxable in West Virginia?

Yes, income earned as an Airbnb host is absolutely taxable, both at the federal and West Virginia state levels. The IRS considers Airbnb hosting a business activity, meaning you’ll need to report your earnings and expenses.

Federal Requirements: You’ll report your Airbnb income and expenses on Schedule C (Profit or Loss From Business), which is filed with your Form 1040. This schedule allows you to deduct all ordinary and necessary business expenses, ultimately determining your net profit or loss. Even if you only host occasionally, the IRS generally considers it a business if you’re trying to make a profit.

West Virginia Requirements: West Virginia has a graduated income tax system. This means the tax rate you pay increases as your income increases. Your net profit from Schedule C will be added to your other income (wages, investments, etc.) and taxed according to the West Virginia tax brackets for the 2024 tax year (filing in 2025). You’ll file this income on West Virginia Form WV-1040. Be sure to check the WV Department of Revenue website for the most up-to-date tax brackets and forms: https://tax.wv.gov/

Top Tax Write-offs for Airbnb Hosts

Maximizing your deductions is key to minimizing your tax liability. Here are some common deductions for West Virginia 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. This requires calculating the percentage of the year the property was rented.
• Utilities: Expenses like electricity, gas, water, and internet are deductible, again based on the percentage of time the property is rented. Keep detailed records!
• Cleaning & Maintenance: Costs associated with cleaning the property between guests, as well as repairs and maintenance (e.g., fixing a leaky faucet, painting) are deductible.
• Mileage & Vehicle Expenses: When you drive for Airbnb-related activities (e.g., delivering keys, shopping for supplies), you can deduct mileage. For 2024, the standard mileage rate is 67 cents per mile (verify the final official rate from the IRS: https://www.irs.gov/newsroom/standard-mileage-rates-for-2024). Alternatively, you can deduct actual vehicle expenses (gas, oil, repairs, insurance, depreciation) if it results in a larger deduction.
• Airbnb Fees: The fees Airbnb charges you are a deductible business expense.

The 15.3% Self-Employment Tax Surprise

Because you’re considered self-employed as an Airbnb host, you’re responsible for paying both the employer and employee portions of Social Security and Medicare taxes. This is known as self-employment tax. The combined rate is 15.3% (12.4% for Social Security and 2.9% for Medicare) on earnings over $400.

You’ll calculate this on Schedule SE (Self-Employment Tax), which is also filed with your Form 1040. The good news is that you can deduct one-half of your self-employment tax from your adjusted gross income, which can help lower your overall tax bill.

Closing Tip for West Virginia Residents

Running an Airbnb in West Virginia can be a rewarding experience, but staying organized with your income and expenses is crucial for a smooth tax filing process. Consider using accounting software designed for self-employed individuals or working with a qualified tax professional (like myself!) to ensure you’re taking all the deductions you’re entitled to and complying with both federal and West Virginia tax laws. Don't hesitate to seek professional advice – it can save you money and headaches in the long run.