If you think you’re going to start your short-term rental venture worry-free, with no hassles, and without taxes getting in the way, you’re very mistaken… In this article, we’ll explain how taxes, VAT, and various percentages will affect your passive income from short-term rentals. Many agencies tend to offer weekly or monthly estimates based on the current market and your property.
However, they often overlook fundamental aspects of taxation, an area in which we are particularly skilled.
Let’s assume that the average weekly valuation and the “promise” many agencies make regarding your property is around 5,000 euros net for you.
How are the fees calculated on that amount?
It all depends on the method adopted by the agency you choose to work with.
Let’s see how we work.
We begin by creating a profile in the owner’s name on the major booking platforms so everything appears under their name; even with the local municipality and the police.
This system has advantages and one disadvantage.
Advantages
Full Control: The owner retains full control, as all transactions are made in their name. This can also be a positive factor for a future property sale, as it demonstrates continuous care and increases the perceived value of the property.
Direct Payments: Short-term rental payments are made directly to the owner immediately after guests check in, ensuring immediate and transparent control of the income.
Access and Transparency: The owner can monitor all listings as if they were the host, sharing impressions and suggestions about guests or other aspects of management with us. The owner’s feedback is crucial to us when creating listings, as we believe their vision of THEIR home is paramount.
Better Bookings: Guests tend to prefer bookings made directly with individuals rather than through companies, which increases the likelihood of successful bookings. Our experience confirms this conclusion.
Tax Data
In the context of short-term rentals, understanding the tax implications is crucial for property owners. Here’s an overview of how taxes may affect your rental income:
Income Tax (IRPEF): Income from short-term rentals is subject to personal income tax. Depending on your total income, the rate may vary. For short-term rental income, you may be able to opt for a flat tax (cedolare secca) which simplifies taxation.
VAT (Value Added Tax): VAT might apply depending on whether you offer additional services such as cleaning, linens, or meals. The VAT rate can vary depending on the nature of the services provided.
Local Taxes: In many regions, local authorities impose taxes on tourism-related activities. This could include a tourist tax, which is typically paid by the guests but collected by the property owner or manager.
Property Taxes: If you own the property, you are responsible for paying local property taxes (IMU) and other applicable rates.
Agency Fees: If you work with a property management agency, they will typically charge a fee, which is a percentage of the rental income. These fees may also be subject to VAT, depending on the services provided.
It’s important to consult with a tax professional to ensure that you are compliant with all tax regulations and are optimizing your rental income.
Now let’s move on to the main offerings of TripCare and how our service can greatly help you achieve your real estate goals.
Guaranteed Income
Guaranteed Income
Haveni offers the possibility to secure a guaranteed and lasting monthly or annual rental income.
The owner will receive a fixed rate, while TripCare takes care of everything, investing and maximizing the income on their behalf, including insurance coverage.
But there’s more:
- The owner will not pay any commission,
- No VAT,
- No dry coupon on the gross amount, taking into account all previous commissions.
Who likes paying high taxes and ending up with less than expected?
With this solution, the flat tax (cedolare secca) will apply only to the amount offered by Haveni, not the gross amount after all commissions.
There will be no transaction costs, VAT, or management fees.
This represents a real advantage, both in terms of security and profitability, ensuring a safe return on investment thanks to the expertise of professionals and experts.
Complete Service
Our Complete Service includes careful and dedicated management of your property. Specifically, we take care of:
- Guest Management: Automated and flexible check-in and check-out via a safe.
- Linen Supply and Management: We ensure high-quality linens and their proper maintenance.
- Professional Cleaning: Regular cleaning services to maintain the property in top condition.
- Online Management and Bureaucracy: This includes registration with the local authorities, ISTAT, Alloggiati Web, and collection of the tourist tax.
- Quick Response to Guest Issues: We provide prompt solutions to guest problems, both on-site and virtually, as demonstrated by our 100% response rate within 5 minutes across all platforms.
We maintain continuous communication with the property owner to build a relationship based on trust and collaboration.
We don’t want to be the typical company that says, “the owner no longer has to think about anything.”
We firmly believe that, especially in the first year, the owner should be constantly informed about market trends, pricing, property management, and guest behavior.
You will always have real-time access to guest messages and can review them at any time via exclusive access to the major platforms.
A monthly report will be sent with personal feedback on property performance, booking tables with all taxes clearly indicated, net, gross, and strategies to improve month by month.
Additionally, we offer a personalized channel manager with all bookings, nightly prices, and an interactive calendar where you can easily block dates for personal use of the property or other needs.
This service is offered on the condition that we are granted exclusive management of Airbnb and Booking platforms. No other agency will be allowed to create an account on these platforms or duplicate the property to obtain independent bookings through these portals.
Online Promotion
Our exclusive Online Promotion service is tailored to effectively manage and promote your property, ensuring maximum visibility and bookings. It includes:
- High-Quality Photography: Professional photos that showcase your property in the best light.
- Listing on Tripcare: We create an attractive and optimized listing on our platform.
- Multichannel Promotion: We promote your property across multiple channels to reach a broader audience.
- Property Registration: We handle the registration of your property on major booking platforms.
- Guest Registration Before Check-In: We ensure all guest details are registered before their stay, ensuring smooth check-in.
- Online Problem Resolution: Quick responses and solutions for any issues your guests may encounter.
- Guest Inquiry Responses: We respond to guest questions promptly, ensuring a great guest experience.
- Monthly Custom Report: We provide a detailed performance report at the end of each month, with key metrics and insights.
- Paperwork Assistance: Support with any paperwork, ensuring everything is legally compliant.
Our goal is to promote your property excellently, with high-quality photos, well-crafted listings, and advanced marketing strategies across all platforms. Our expert team manages communication and pricing using sophisticated software to maximize your bookings.
We guarantee the best results in your area! Let us handle the promotion while you focus on your profits.
EXTRA
Experiences
The best experiences come from the best agencies.
Thanks to our extensive network, Tripcare offers extraordinary itineraries, supported by a team dedicated to the well-being of guests, to ensure an unforgettable stay.
Take advantage of the best travel opportunities and enjoy limitless experiences, all at competitive prices.
Concierge
With an unwavering commitment to excellence in hospitality, we dedicate significant resources to a highly qualified Concierge team.
This team, specialized in guest reception and management, provides assistance throughout the journey, offering valuable advice to ensure a memorable experience.
Hospitality is a top priority, aimed at maximizing guest satisfaction.
24/7 Assistance
Our 24/7 service provides comprehensive assistance for all your accommodation and booking needs.
From dedicated support for owners and clients to the efficient management of every detail, we ensure maximum responsibility and precision for a flawless trip.
Your peace of mind is our priority.
In Conclusion
Tripcare offers a comprehensive solution for property owners, combining expert property management with exceptional guest experiences. By ensuring full control over your property, offering guaranteed income, and providing a wide range of services from concierge support to 24/7 assistance, we ensure that every aspect of your investment is handled with care and professionalism.
Our commitment to maximizing both the profitability and the experience of both guests and owners sets us apart in the industry. Trust us to help you achieve your real estate goals while offering your guests unforgettable stays. Let us take care of the details while you enjoy the returns.
