Short Stay rental is the rent of free sector houses for a short period of time (at least 1 month, up to 12 months), for an all in rent price. Short Stay rental is mainly focussed on international students and expats.
Since 2018 Guesthouse Nijmegen, in association with the Radboud University Nijmegen, has been active in this relatively new field. At this moment, Guesthouse Nijmegen rents approximately 100 rooms and apartments through Short Stay rental.
Guesthouse Nijmegen can provide you excellent guidance on all legal, financial and fiscal aspects in this field. In case you actually want to engage in Short Stay rental, we advise you to contact us.
The rent on houses, living space and rooms is normally exempt from VAT. Paid VAT, for example in connection with the refurbishment of the rooms, can not be deducted.
This is different for Short Stay rental. In case of Short Stay, the rent will be taxed with 6% VAT. However, paid VAT relating to the relevant Short Stay, including for example the VAT on the refurbishment of the building (21%), will be deductible. Especially the latter can ensure that the return on the property turns out to be a lot higher!
But how does Short Stay qualify for this tax advantage? The Short Stay should to a certain extent be similar to the rental of a hotel room. For this, the nature (work/study) and the duration of the stay are important.
If you would like to receive more information about Short Stay or would like to get to know us, please do not hesitate to contact us!