Is Airbnb legal in Kraków?

Airbnb regulations in Krakow reflect the broader decentralized nature of short-term rental regulations in Poland, where local governments have the authority to establish their own rules. As such, hosts in Krakow are required to register their short-term rental properties as facilities providing non-hotel lodging services and comply with applicable regulations. This registration process is crucial for the legality of their rental activities.

In addition to registration, hosts in Krakow must adhere to tax obligations on their rental income. They have two primary taxation options: the Progressive scale method, which involves a tiered tax rate ranging from 17% to 32% based on net income, and the Flat Rate tax method, which imposes a flat rate of 8.5% on income under PLN 100,000 and 12.5% on income exceeding this threshold. VAT registration may also be necessary if the rental activity qualifies as a business or gross revenues cross certain thresholds, with an 8% VAT rate typically applied to lodging services.

Moreover, hosts must collect and remit the tourist tax set by local authorities in Krakow. Ensuring compliance with these requirements, along with considering any potential contractual or community restrictions, is essential for responsible hosting. Hosts are encouraged to conduct thorough research or consult professionals regarding their specific legal and tax responsibilities to ensure compliance in Krakow.

Ultimately, successful hosting in Krakow involves understanding and navigating local registration requirements, tax obligations, and other legal responsibilities, thereby contributing to a positive experience for both hosts and guests.