When Sarah started hosting on Airbnb, she was focused on the guest experience—stocking the fridge with snacks, making sure the linens were fresh, and keeping the space picture-perfect. Like many hosts, she didn’t see herself as a “business owner,” just someone making a little extra income from a property she already had.
But things changed when tax season rolled around.
As we worked through her bookkeeping, I asked her, “Have you been tracking your mileage?”
She blinked. “Mileage for what?”
It turns out Sarah had been making regular trips to the property—dropping off supplies, running to Home Depot, meeting with her handyman, even swinging by the laundromat to pick up linens. All of those miles? They counted as business use of her car. By the time we added it up, she had driven over 3,000 miles last year for Airbnb-related errands. At the 2024 IRS rate of 67 cents per mile, that gave her a $2,010 deduction she would have completely missed.
She was stunned. “I had no idea that counted!”
And she’s not alone.
Most Airbnb hosts don’t realize that the driving they do for their rental is a legitimate, IRS-approved business deduction. The IRS allows hosts to deduct mileage for any trip that is necessary and directly related to managing the rental. This includes picking up supplies, going to clean or inspect the property, meeting guests or contractors, or driving to the hardware store for that last-minute fix.
Of course, the IRS doesn’t just take your word for it. You need to keep a log of your miles—something simple, like the date, the destination, the purpose of the trip, and the number of miles driven. There are plenty of apps that do this automatically (MileIQ and QuickBooks Self-Employed are two popular options), but even a good old spreadsheet works. The key is consistency.
Some hosts ask whether they should deduct actual car expenses instead—gas, maintenance, insurance, and so on. That’s an option, but for most part-time hosts, the standard mileage deduction is simpler, easier to track, and just as effective.
For Sarah, that $2,000+ deduction made a real difference. It helped offset the cost of repairs she’d done earlier in the year and lowered her taxable income. More importantly, it opened her eyes to the fact that Airbnb isn’t just a side hustle—it’s a business. And like any business, it deserves to be run with the same attention to finances and tax strategy.
If you’re an Airbnb host and you’re not tracking your mileage, now’s the time to start. A few minutes of effort can save you hundreds—or even thousands—at tax time.
And if you’re feeling overwhelmed by all the details? That’s where we come in. At HostBooks by Kimber, we specialize in bookkeeping and tax support for short-term rental owners. We’ll help you keep track of your deductions, clean up your books, and make tax time way less stressful.
You focus on hosting. We’ll handle the numbers.
👉 Learn more at www.hostbooksbykimber.com