Suspension of tax penalty in Airbnb rentals

The Council of State suspended the execution of the circular that forms the basis of tax penalties imposed on homeowners in short-term house rentals. Houses without additional services...

Scraper SystemJune 04, 2026, 11:43 AM

Suspension of tax penalty in Airbnb rentals

The Council of State suspended the execution of the circular that forms the basis of penalties imposed on homeowners in tax disputes concerning those who rent out their house or room for a short period. The decision stood out as a significant development for homeowners who have recently turned to the short-term accommodation model.

The dispute between the Ministry of Finance and homeowners had escalated with the rule that everyone holding a residential permit for tourism purposes is considered a commercial taxpayer. Within this framework, some homeowners were retrospectively fined 20% VAT, income tax, and temporary tax penalties.

Evaluation of the Council of State

In a case filed by a taxpayer, the court evaluated that for the rental activity to be considered commercial income, additional services such as breakfast, ironing, and an operation similar to a hotel or apartment must be provided.

According to this approach, it was stated that houses without additional services would not be considered accommodation facilities. Thus, it was ruled that such rentals cannot be subjected to accommodation tax based on the circular of the Revenue Administration.

What might change for homeowners?

The decision reopened the discussion on the limits of tax application for those renting houses for short periods. Attention is now on the Ministry of Finance; the ministry is expected to appeal the decision.

The development is seen as potentially affecting those renting houses or rooms both domestically and abroad. The practical outcome of the decision is closely watched, especially for those renting solely for accommodation purposes without providing additional services.

In this long-debated model, the question of under what conditions rental income is considered commercial activity has come back to the forefront. The Council of State's suspension decision has created a framework that is also important for similar cases.

Suspension of tax penalty in Airbnb rentals

The Council of State suspended the execution of the circular that forms the basis of tax penalties imposed on homeowners in short-term house rentals. Houses without additional services...