I have a client who has an entire house that he rents out via Airbnb. There is no personal usage.
I have been trying to determine where to report the income/expenses for this property - Schedule C or E - and have done a lot of research into this subject. From the documents I have read, my understanding of the correct reporting is:
For a property that has an average rental period of less than 7 days - Schedule C
For a property that has an average rental period of 7 - 29 days - Schedule C if substantial services are provided (i.e. daily linen changes, daily cleaning, clean towels provided, etc.) - Schedule E if no substantial services are provided (only cleaning at end of term).
For a property that has an average rental period of 30 or more days - Schedule E
Do you agree with my understanding?