Holidays Lets as Business
If you let out furnished accommodations directly to holidaymakers on a short term basis (up to 30 days), you are engaged in tourist related services and are required by law to register your Local Lodging activity.
While this type of activity has more checks and balances than conventional renting, it also receives special tax treatment under the “Simplified Regime”. You are only taxable on 15% of your gross invoiced income with the other 85% being automatically excluded to cover business overhead. Normally, final tax rates fall below 4%.