Running a short-term rental is a business — and the IRS treats it that way. That means every legitimate expense you incur to operate your Airbnb or VRBO property is potentially deductible, directly reducing your taxable rental income. Yet most hosts leave money on the table simply because they aren’t tracking what qualifies.
This checklist covers the key airbnb tax deductions available to US hosts in 2026, organized by category. Bookmark it, share it with your accountant, and use it as your starting point for a cleaner, more profitable operation.
Important: This post is for informational purposes only and does not constitute tax advice. Consult a qualified tax professional for guidance specific to your situation.
1. Cleaning and Turnover Costs
Cleaning is one of the largest recurring expenses in short-term rental operations — and it’s fully deductible as an ordinary business expense.
What qualifies:
- Professional cleaning fees paid to cleaners or a cleaning service for guest turnovers
- Laundry expenses — detergent, fabric softener, dryer sheets, and coin laundry costs if you don’t have in-unit machines
- Cleaning supplies purchased for the property, including mops, vacuums, microfiber cloths, and disinfectants
- Trash bags, gloves, and other consumables used during turnover
If you pay a cleaner through a platform like Venmo, Zelle, or check, keep records of every transaction. If you pay $600 or more to a single contractor in a calendar year, you may be required to issue a 1099-NEC. Your accountant can walk you through the thresholds.
2. Supplies and Guest Amenities
Everything you stock the unit with for guests — from toiletries to coffee pods — is a deductible supply expense.
What qualifies:
- Toilet paper, shampoo, conditioner, body wash, and hand soap
- Coffee, tea, creamer, and sugar
- Paper towels and kitchen sponges
- Trash bags, dish soap, and dishwasher pods
- Welcome basket items (local snacks, a bottle of wine, branded notepads)
- Light bulbs, batteries, and other small maintenance consumables
The key is that these items are consumed by guests or used in the operation of your rental. Items that benefit your personal use can only be deducted on a pro-rata basis based on the percentage of time the property is rented versus personally used.
3. Platform Fees and Commissions
Every time Airbnb or VRBO processes a booking, they take a cut. That cut is a deductible business expense.
What qualifies:
- Airbnb host service fees (typically 3% of each booking subtotal)
- VRBO subscription fees or per-booking fees
- Payment processing fees from any platform
- Travel insurance or damage protection fees charged to the host
Most of these fees are clearly itemized on your host payout statements. Pull your annual earning summary from Airbnb’s host dashboard — it gives you a line-item breakdown of gross income and fees that makes reporting straightforward.
4. Property Management and Operations Software
This is a category many hosts overlook entirely: the software tools you pay for to run your rental business are deductible as ordinary business expenses.
What qualifies:
- STR operations platforms like StayReady — used for cleaner scheduling, turnover checklists, supply tracking, and profitability dashboards
- Dynamic pricing tools (Wheelhouse, PriceLabs, Beyond)
- Channel managers and property management systems
- Communication and automation tools
- Accounting software used for your rental business
StayReady, for example, is a tool purpose-built for Airbnb hosts to manage every operational touchpoint — from auto-scheduling cleaners after a booking confirms, to tracking supply inventory, to seeing your true net profit per property. The subscription cost is a direct business expense and fully deductible.
If you’re using multiple tools, keep a simple spreadsheet of each subscription, the monthly cost, and what it’s used for. This makes it easy to total up your software deductions at year-end.
5. Repairs and Maintenance
Routine repairs and maintenance to keep your property in rentable condition are deductible in the year you pay for them.
What qualifies:
- Plumber or electrician callouts for repairs
- HVAC servicing and filter replacements
- Appliance repairs (refrigerator, dishwasher, washer/dryer)
- Pest control
- Lawn care and landscaping (if part of the rental property)
- Lock rekeying or smart lock battery replacements
- Touch-up painting and minor cosmetic repairs
The IRS distinguishes between repairs (deductible in full in the current year) and improvements (capitalized and depreciated over time). Fixing a broken faucet is a repair. Installing a new kitchen is an improvement. When in doubt, ask your accountant.
6. Depreciation
Depreciation is one of the most powerful — and most underused — tax deductions available to rental property owners.
When you purchase a rental property, the IRS allows you to deduct the cost of the building (not the land) over 27.5 years using straight-line depreciation. On a property with a depreciable basis of $275,000, that’s $10,000 per year in deductions — without spending a single dollar.
What can be depreciated:
- The residential rental property itself (27.5-year recovery period)
- Appliances and furniture (5–7 year recovery period, often eligible for bonus depreciation)
- Carpeting, HVAC units, and other improvements (varies by category)
For 2026, consult your tax advisor on current bonus depreciation rules, as these have been subject to legislative changes in recent years. A cost segregation study can accelerate depreciation deductions significantly for hosts with larger portfolios.
7. Insurance, Utilities, and Other Operating Costs
A range of other recurring costs qualify as vacation rental tax deductions:
- Rental property insurance or short-term rental-specific policies (like those from Proper Insurance)
- Utilities paid by the host — electricity, water, gas, internet, cable
- HOA fees (pro-rated if the property is also personally used)
- Mortgage interest on a rental property (reported on Schedule E)
- Property taxes (also on Schedule E)
- Advertising and listing fees beyond platform commissions (photography, professional copywriting)
- Home office deduction if you have a dedicated workspace used exclusively to manage your rentals
The Profitability Picture
Tax deductions don’t just reduce your tax bill — they reveal your actual operating costs. Hosts who track deductions rigorously tend to have a much clearer picture of which properties are genuinely profitable and which are breaking even (or worse).
That’s where a tool like StayReady pays for itself. Beyond the operational benefits, having every cleaning fee, supply order, and maintenance cost logged in one place means your year-end accounting takes hours instead of days — and your accountant gets clean, organized data instead of a shoebox full of receipts.
Ready to Make Your STR More Profitable?
If you’re managing an Airbnb or VRBO property and want cleaner operations alongside better financial visibility, StayReady is built for you. Track every expense, auto-schedule your cleaners, and see your true profit per property — all in one dashboard.
Start your free trial today → No credit card required. One property free, forever.