SHORT-TERM LETTING · 2026/27
Airbnb tax calculator
Estimate taxable short-term letting profit after expenses and the property allowance. Use it as a planning check for hosts who want to understand the tax effect before looking at VAT, licensing or local rules.
Estimated result
- Taxable profit
- £22,000
- Deduction method
- Actual expenses
- Finance-cost tax reduction
- £600
- VAT registration warning
- No warning from entered turnover
- Business-rates review
- Council Tax likely, but check local rules
The furnished holiday lettings tax regime ended in April 2025. This estimate does not decide planning permission, licensing, VAT grouping, business-rates eligibility or whether expenses are wholly and exclusively incurred.
What this calculator does
It estimates the taxable profit from short-term letting after expenses, finance costs and the property allowance. This is the page for hosts who need a quick answer on whether the property or the expenses route is better.
Why this result may differ
Company ownership, property allowance use, commercial short-term letting rules, finance costs and VAT registration can all change the answer. Local licensing and planning rules are outside this estimate.
Worked example
A host with £30,000 of receipts and mixed expenses needs to know whether the property allowance or actual expenses give the better result. If the property is run through a company or the hosting pattern looks commercial, the outcome can change materially.
The former furnished holiday lettings regime ended in April 2025, so the main question now is whether the income is taxed as property income and what deductions are available.
SOURCES & REVIEW
Checked against official guidance
Last reviewed 1 September 2026 · Rule version GB-2026.27.1
Daily/weekly source monitoring. If a source changes, the affected rule set is reviewed before publication.
All source links are kept visible so you can verify the figures used on this page.
GOV.UK: Paying tax on rental income ↗Sources, methodology and update policy →Report an issue or correction →WHY RESULTS DIFFER
Why two users can see different results
Why the result can differ
Different tax codes, payroll periods, Scottish bands, pension methods or lender assumptions can change the outcome.
One-off bonuses, pay frequency, overpayments, allowances and reliefs can move the result away from a simple annual estimate.
Where a rule depends on eligibility or legal status, this page shows an estimate and links to official guidance.
This section is intentionally repeated on key tools so the explanation stays near the result instead of being hidden in a separate policy page.
COMMON QUESTIONS
Frequently asked questions
Does this replace a tax return?
No. It is a planning estimate, not a filing tool.
Does the property allowance always help?
No. Actual expenses can be better if they are higher than the allowance.
Does this decide licensing or planning permission?
No. Separate local rules apply.