Airbnb rental: Do you need a business license?

Airbnb is a popular way of renting out accommodation to tourists on a short-term basis in order to generate higher returns than traditional rentals. However, be careful: in some cases, a business license is required. The distinction between simply providing accommodation, which does not require a business license, and operating a hospitality business is not always clear and depends on the specific circumstances of each case.

When is it considered a mere provision of accommodation?

A simple provision of accommodation occurs when you only provide accommodation for a limited period of time – without additional services such as cleaning or catering. In this case, the rental is not considered a hospitality business and does not fall under the Austrian Trade Act.

When does providing accommodation become a hospitality business?

According to case law of the Austrian Administrative Court, providing accommodation may be classified as operating a hospitality business as soon as you offer additional services. These may include, in particular:

  • Provision of bed linen, towels and toiletries (e.g. shampoo, soap)
  • Wi-Fi access and modern entertainment electronics (e.g. smart TV)
  • Ongoing cleaning or final cleaning of the accommodation

What are the legal consequences?

If you offer such services, you are operating a hospitality business pursuant to the Austrian Trade Act – which comes with specific obligations:

  • A business registration with the relevant authority is required.
  • The type of business depends on the number of beds and services provided:
    • Free hospitality business: up to ten beds, offering only breakfast, small meals, non-alcoholic beverages and beer.
    • Regulated hospitality business: from eleven beds upwards or more and services – this requires a certificate of qualification
  • Without a business registration, you risk administrative fines of up to EUR 3,600 and legal action pursuant to the Unfair Competition Act by competitors, such as hoteliers.

Check your rental!

Whether your Airbnb rental requires a business license depends on various factors. We assess your individual case and assist you with a possible business registration – legally compliant and straightforward.