Turo Host Taxes in Ohio - 2026 Guide

Updated for 2026 (Filing 2025 Taxes)

Tax Essentials for Turo Hosts in Ohio

Sharing your vehicle on Turo provides a flexible income stream, but as an Ohio resident, understanding the tax implications is crucial for a smooth tax season. Revenue generated through Turo is considered taxable income by both the federal government and the State of Ohio.

The IRS requires Turo hosts to report their earnings on Schedule C (Profit or Loss From Business) as self-employment income. This means not only income tax, but also self-employment tax – covering Social Security and Medicare – will be due on net earnings exceeding $400. Accurate record-keeping throughout the year is essential to maximize deductions and minimize tax liability.

How Ohio Handles Gig Worker Taxes

As a resident of Ohio, you are required to file a state income tax return, even if no Ohio income tax was withheld. Ohio utilizes a graduated income tax system, meaning the tax rate increases as your income rises. Turo income is considered part of your overall adjusted gross income (AGI) and is subject to these rates. The primary form for self-employed individuals to report income and calculate Ohio income tax is Form IT 1040, along with Schedule IT A for business income. For the 2025 tax year, Ohio’s tax brackets are expected to remain similar to prior years, ranging from 0% to 3.992% depending on your taxable income. It’s important to note that Ohio also offers various credits and deductions that may reduce your tax liability. Ohio also requires estimated tax payments if you expect to owe more than $1,000 in state income tax. Failure to make these payments can result in penalties. Staying informed about changes to Ohio tax law is vital; the Ohio Department of Taxation provides resources and updates on their website: Ohio Department of Taxation.

Top Tax Deductions for Ohio Drivers

• Standard Mileage: The most popular deduction for Turo hosts. The 2025 rate is 70 cents per mile. Given Ohio’s relatively stable gas prices, the standard mileage rate is often a beneficial option for simplifying tax calculations.
• Tolls & Parking: Ohio has toll roads managed by Ohio Turnpike and Commission. Keep detailed records of all toll expenses and parking fees incurred while your vehicle was rented on Turo.
• Phone & Data Plan: If you use your phone for Turo-related activities (communication with renters, managing listings), you can deduct the business percentage of your monthly bill.
• Vehicle-Related Costs: Expenses like car wash supplies, air fresheners, phone mounts for renters, or even small amenities offered to renters are deductible business expenses.

Key Warning: You cannot deduct both the standard mileage rate and actual car expenses like gas, oil changes, or repairs in the same year. Choose the method that yields the largest deduction.

Understanding the 15.3% Self-Employment Tax

This tax covers both Social Security and Medicare taxes. Unlike traditional employment where these taxes are withheld from your paycheck, as a Turo host, you are responsible for paying both the employer and employee portions, totaling 15.3% on net earnings over $400. Platforms like Turo do not withhold these taxes, so planning for this expense is essential.