Not quite. STR bookkeeping involves multiple income streams, complicated tax categories (transient rental tax, sales tax, county tourist tax), property depreciation, multi-platform listings, and the question of whether the IRS considers your rental a "passive" activity or an active business — which affects what you can deduct.
Florida is one of the largest short-term rental markets in the country. Whether you're running one beach condo or a portfolio of 30 properties, here's what to track.
1. Gross booking revenue (not platform deposits)
Same trap as e-commerce: most STR platforms deposit net amounts to your account — gross booking minus platform fees, sometimes minus host service fees. If you record that net deposit as revenue, you've buried the cost structure.
What actually shows up in a booking:
- Nightly rate × nights = gross rental revenue
- Cleaning fee charged to guest
- Platform service fee (Airbnb/VRBO's cut)
- Host service fee (some platforms)
- Taxes collected (transient rental tax, sales tax, county tourist tax)
- Net amount deposited to your account
Each of these is its own line item in your books:
- Rental revenue → income account
- Cleaning fee revenue → income account (or separate category)
- Platform fee → expense account
- Tax collected → liability account (it's not yours; you owe it to the state)
Most STR-focused bookkeeping tools (Hospitable, Hostfully, OwnerRez, or connectors like Bnbtally) break this out automatically. Manual breakdown works for a single property but gets unmanageable past 2–3 listings.
2. Multi-platform separation
If you list on Airbnb, VRBO, Booking.com, and your own direct-booking site, your books should let you see each platform separately. Different platforms have different fee structures, different guest demographics, and different profitability profiles.
The setup is the same as e-commerce: use classes, tags, or location tracking in your accounting software so you can run a P&L by platform.
3. Cleaning, maintenance, and operational costs
The expenses that hit STR businesses:
- Cleaning fees paid to your cleaner. Often the largest variable expense. If you charge guests a cleaning fee and pay your cleaner less, the difference is revenue. If you charge less than you pay, it's a marketing decision.
- Routine maintenance — pool, lawn, A/C servicing, pest control
- Repairs — anything from a clogged toilet to broken furniture
- Supplies and consumables — toilet paper, coffee, soap, sheets, towels
- Utilities — electric, water, internet, streaming services, cable
- Property management software — Hospitable, OwnerRez, etc.
- Insurance — short-term rental insurance is different from standard homeowner's policies
- HOA fees and special assessments
These are all deductible business expenses if the property is operated as a rental. Track each in its own category — clumping them under "rental expenses" loses important visibility.
4. Transient rental tax (the Florida specific)
This is where Florida gets unique. Short-term rentals in Florida are subject to multiple layers of tax:
- 6% state sales tax on rentals less than 6 months
- County discretionary sales surtax (0.5% to 2%, depending on county)
- County tourist development tax (the "bed tax") — varies widely by county, often 4–6%
Total tax burden on a short-term rental booking can run 10–13% depending on county. Each component is collected from the guest and remitted to the appropriate authority.
A few mechanics:
- Airbnb and VRBO collect and remit state sales tax and the discretionary surtax in Florida automatically.
- County tourist development tax varies by county — in some counties, Airbnb/VRBO collect and remit; in others, the host is responsible.
- Direct bookings (your own website, off-platform stays) are always your responsibility — collect from the guest, remit to the appropriate authority.
This is where most STR hosts get into trouble. Assuming the platform handles all tax is a costly assumption — verify what your specific county requires.
(More on Florida sales tax basics →)
5. Depreciation on the property
The property itself depreciates over 27.5 years (residential) or 39 years (commercial, including some short-term rental configurations). That depreciation is a major non-cash deduction.
For most STR owners, depreciation is calculated as:
- Cost basis of the property (purchase price + closing costs - land value)
- Divided by 27.5 or 39 years
- Equals annual depreciation deduction
Land doesn't depreciate, so the calculation requires separating land value from building value. Your county property appraiser's records can help, or a cost segregation study (for larger properties) can break down the building's components for accelerated depreciation.
A note on cost segregation: for properties over a certain size, a cost segregation study can identify portions of the building (carpeting, fixtures, etc.) that depreciate over much shorter periods — sometimes producing huge first-year deductions. Worth talking to a CPA for properties over $500k.
6. Schedule E vs Schedule C
This is a tax classification question with real bookkeeping implications.
Schedule E (passive rental). Treated as a passive rental activity. Income and expenses flow through, but losses are limited (only deductible against other passive income for most taxpayers). No self-employment tax.
Schedule C (active business). Treated as an active business. Self-employment tax applies, but losses can offset other active income, and you qualify for some additional deductions (QBI, retirement plan contributions based on self-employment earnings).
The default for short-term rentals: Schedule E, unless you provide "substantial services" similar to a hotel (daily housekeeping, meals, concierge, etc.). Most STR hosts who provide cleaning between guests but otherwise leave the property unattended fall on Schedule E.
This is a CPA conversation specific to your situation. The bookkeeping needs to support whichever treatment your CPA chooses.
7. The 14-day rule
If you rent out a property for 14 days or fewer per year, you don't have to report the income at all — a unique IRS provision often called the "Augusta Rule." Cleaning fees, taxes, and other gross income don't even hit your return.
If you rent for 15+ days, you're back to standard rental rules. The 14-day rule is binary, not a phase-in.
This matters for owners who occasionally rent out a primary residence during a major event (Super Bowl, F1 race, Masters golf tournament). It doesn't apply to dedicated short-term rental properties.
Common mistakes
The patterns we see most often in STR books:
- Recording net platform deposits instead of gross with fees broken out
- Mixing personal and business spending if the owner stays at the property
- No depreciation tracking on the building
- Assuming the platform handles all tax (county tourist tax often isn't covered)
- Misclassifying as Schedule E or Schedule C
- No multi-platform separation
- Treating cleaning fee revenue as separate from rental revenue
- No documentation of personal-use days (matters for owners who also use the property)
Frequently asked questions
Yes, in most cases. Airbnb sends a 1099-K if you have $20,000 or more in gross transactions and 200+ transactions in a calendar year (the threshold reverted to those levels under OBBBA). Many hosts now don't receive a 1099-K because they fall below either threshold — but the income is still taxable and must be reported.
Only the days you actually rent it out (and the related portion of annual expenses). If you use the property personally for more than 14 days or 10% of rental days, IRS rules limit what you can deduct. Track personal-use days carefully.
Not required, but commonly used for liability protection. The bookkeeping is the same either way — what changes is the legal liability separation between you and the property.
Depreciation. The property depreciates over 27.5 years (residential), generating a major non-cash deduction every year. Many STR owners miss it entirely because their bookkeeping isn't tracking the property as a depreciable asset.
Where to start
If your STR books are running off platform deposits without breaking out fees and taxes — or you're not tracking depreciation, or you're not sure which county taxes you owe — those are the gaps that compound over time.
SoFlo360 helps short-term rental owners set up bookkeeping that handles multi-platform income, transient rental tax, and property depreciation correctly. Spanish-friendly support is available for owners who'd rather handle financial conversations in Spanish.
Book a free consultation or learn more about our bookkeeping services.
This post is educational content, not tax advice. For your specific situation, consult a qualified CPA.