These information pages can help you get started in learning about some of the laws and registration requirements that may apply to your Trips or Experiences on Airbnb. These pages include summaries of some of the rules that may apply to different sorts of activities, and contain links to government resources that you may find helpful.

Please understand that these information pages are not comprehensive, and are not legal advice. If you are unsure about how local laws or this information may apply to you or your Experience, we encourage you to check with your city or an attorney.

Please note that we don’t update this information in real time, so you should confirm that the law has not changed recently.*

How do I know if I’m running a business?

Whether you are likely to be considered as running a business varies depending on whether it relates to consumer protection laws or tax obligations. If you meet the prescribed tests under these laws, the relevant obligations under the laws will apply to you.

For the purposes of New Zealand’s consumer protection laws (described below) the test is whether or not you are “in trade”. The Fair Trading Act 1986 applies to anyone in trade, including all commercial activities, trades, professions and any undertaking relating to the supply of or acquiring products and services (all businesses). The Commerce Commission which enforces the Fair Trading Act provides guidance as to who is "in trade", including whether you as a seller:

• regularly or habitually offer to sell products or services (whether online or otherwise); or
• make, buy or obtain products with the intention of selling them.

To the extent you are GST registered or have staff or a company structure or another type of trading entity then it is very likely you will be in trade, however these elements are not necessary.

Examples of where a person would likely be seen to be running a business ‘in trade’:

• I am a professional surf instructor and I want to occasionally provide experiences which involve me providing private surf lessons and introducing guests to my local beach.
• I am a non-professional photographer. I provide experiences involving photography lessons and guided visits of my area. I do this on a regular basis.

Example of where a person would likely not be seen to be running a business ‘in trade’:

• I am a keen cyclist who is active in the Queenstown cycling community. I want to provide an experience, as a one-off thing, where I offer guests the opportunity to join our cycling community during their stay.

For tax purposes, income which you must declare is very broad. This includes any amount that you derive from carrying on or carrying out an undertaking or scheme entered into or devised for the purpose of making a profit. As such, if you make money, you should consider your tax obligations. (It is irrelevant for tax purposes whether or not you meet the ‘in trade’ business test.).

The New Zealand Inland Revenue has a number of online resources, including this Tool for Business and this series of videos to help you in going into business for yourself.

Various New Zealand Government agencies have developed resources to help guide people through the various stages of starting and running a business, including the Ministry of Business. You are encouraged to review these resources for guidance on starting and running a business, as well as the various obligations under the law that would apply to you.

What legal structure could I choose to use to operate my business?

There are different legal structures you can use to set up your business. For example, you could choose to be a self-employed sole trader. This is the status that would automatically apply to you if you start running your own business as an individual. Alternatively, you could set up a company or partnership.

These are the three most common structures for your business in New Zealand. The New Zealand government has a useful guide on the different structures you can choose.