Don't be caught off guard like I was the first time I looked at my annual earnings vs. Turo's fees and the tax bill.
Ok, so if you're new to this site, you may not know Auto/Mate is the business I started due to my frustration with the Turo platform. Turo is a car-sharing platform that allows individuals to rent out their personal vehicles to others. The company takes a percentage of the rental fee as commission. Regarding taxes, Turo is responsible for collecting and remitting taxes on behalf of the car owner in certain jurisdictions. It also provides 1099 tax forms to its car owners for them to report the rental income on their taxes. It's important for car owners to check with their local tax authorities to see if they have any specific tax obligations related to renting out their cars on Turo.
If Turo does not collect taxes on behalf of car owners in a specific state, it would be the responsibility of the car owner to report and pay any taxes owed on the rental income earned through the platform. This can include state sales tax and any local taxes that may apply. As a Turo car owner, it's important to check with your state's tax authorities to understand your specific tax obligations and ensure that you correctly report and pay any taxes owed on your Turo rental income. It may also be beneficial to consult with a tax professional for guidance on correctly reporting and paying taxes on Turo income in your state.
Avoid sticker shock come tax time and make sure you are handling everything as quickly and efficiently as possible, or your side hustle will just be a money pit!
Turo Biz must-haves:
You will constantly be cleaning a car, and this pack is a lifesaver: https://amzn.to/3w0Wk6u
This towel will come in handy for your Turo biz: https://amzn.to/3CF4wNF
Trackers are recommended: https://amzn.to/3GYAPK2
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