This article outlines the taxation rules for income generated through peer-to-peer car rental platforms like GoMore in Finland.

Are rental earnings through GoMore taxable?

Yes, any income you earn from renting out your car as a private individual through GoMore is generally considered capital income and is taxable. According to the DAC7 directive, GoMore reports the car owner's earnings directly to the Finnish Tax Administration, but the car owner must still declare these earnings to the tax authorities as the Tax Administration does not automatically include this income in your tax return. More information can be found here.

Guidance on the taxation of sharing economy services is provided by the Finnish Tax Administration. You can find these guidelines here, and an illustrative example based on peer-to-peer car rental is described later in this article. The Ministry of Economic Affairs and Employment (MEAE) also compiles guidelines related to peer-to-peer car rentals and taxation on their sharing economy website.

Where can I find a summary of the rental income I receive through GoMore?

An overview of your earnings is available by following the path on our platform:

• Through the App: Account -> Balance

• Through the Website: Click on your profile picture in the upper right corner of the website -> Earnings -> Balance

If you need more information about your earnings or have any uncertainties, please contact GoMore support.

Can I deduct expenses related to the rental of a privately used car for tax purposes?

Yes, according to the Finnish Tax Administration, you can generally deduct expenses that are directly incurred from earning income when you rent out your car.

Example calculation

Liisa has rented out her personal car through a platform service. The car was purchased new for €26,000. Liisa pays €1,000 annually for mandatory insurance and €350 for maintenance and inspection.

Throughout the year, Liisa rents out her car for 50 days, earning a total of €1,500. The platform service provider deducts a service fee of 25% from Liisa’s earnings.

Liisa can deduct from her taxes the service fees that the platform service has deducted from her earnings. These €375 are directly listed as costs incurred from renting. Additionally, she can deduct a proportional part of the insurance, maintenance, and inspection costs related to the rental period, which amounts to €184.93 (= 50/365 x €1,350). Liisa cannot deduct the purchase price of the car because it is not primarily used for income-generating activities.

Please note that the Finnish Tax Administration evaluates the primary use of the rental activity on a case-by-case basis, determining whether the car is mainly used for rental (income-generating activity) or personal use (incidental income from peer rentals). If the car is primarily used for personal purposes, acquisition costs are generally not deductible. However, if the car is rented out through the platform primarily as an income-generating activity, the car owner's rights to tax deductions are broader, such as depreciation of the purchase cost and possible loan interest deductions. Further information can be obtained from the Finnish Tax Administration and in-depth guides on rental income taxation.

How does it work if I rent out my company car through GoMore?

If you rent out your car through GoMore as a main income-generating activity, you can create an entrepreneur profile in our service. From your profile, you can continuously view the rental income you have accrued, which you can then conveniently declare to the tax authorities and calculate the corresponding expense deductions. We also report your company's earnings directly to the Finnish Tax Administration.

Disclaimer: This article is intended for guidance only and does not constitute legal advice. Tax laws are complex and can vary widely; you should contact your local tax authority or a financial advisor for specific guidance related to your circumstances.