Do I need a permit for short-term rentals in Indianapolis?

**Yes**, Indianapolis requires all short-term rental hosts to obtain an annual permit through the Department of Business and Neighborhood Services. You need to apply for a Short-Term Rental Permit, which costs $150. Due to Indiana state law, the city strictly enforces registration, insurance, and tax collection requirements. (57 words)

What is the TOT tax rate in Indianapolis?

**10% TOT** (Innkeeper's Tax) is the current transient occupancy tax rate for short-term rentals in Indianapolis, IN. You are responsible for collecting this tax from guests and remitting it to the city in addition to the 7% state sales tax. Check with the local finance department for filing deadlines and procedures. (54 words)

Are short-term rentals allowed in Indianapolis?

**Yes**, short-term rentals are allowed in Indianapolis, but they are regulated. Due to Indiana state law preemption, the city cannot ban STRs entirely. You must obtain a permit and adhere to insurance and tax collection requirements. Always check local zoning regulations for any specific restrictions that may apply. (52 words)

How much does an STR permit cost in Indianapolis?

**$150** is the annual fee for the required Short-Term Rental Permit in Indianapolis. You need to apply for this permit through the Department of Business and Neighborhood Services. This permit is required for all short-term rental hosts operating in the city, helping ensure compliance with local regulations and safety standards. (52 words)

Can renters host on Airbnb in Indianapolis?

**Yes**, tenants in Indianapolis are allowed to host on Airbnb, provided they meet all local requirements. You must obtain a Short-Term Rental Permit and comply with insurance and tax collection regulations. Always review your lease agreement and obtain permission from your landlord before listing a property on short-term rental platforms. (56 words)

Indianapolis

Moderate

IndianaUpdated Apr 8, 2026

Gold-standard verification1% sourced

Cross-referenced against 3 official sources — municipal codes, planning-department pages, and government registries.

Verified Jan 30, 2026Sources 3

Summary

Plain-english overview

Indianapolis requires all short-term rental hosts to obtain an annual permit through the Department of Business and Neighborhood Services. Due to Indiana state law preemption, the city cannot ban STRs but strictly enforces registration, insurance, and tax collection requirements. Hosts must collect and remit a 10% Innkeeper's Tax in addition to the 7% state sales tax.

Restriction level

Severity 11

Classification

Moderate

Severity

Why this classification

Standard permit fee: $150
Permit required
Reporting required
No night cap
No primary residence requirement
Tenants can host

In plain English

What this means for you

To host an Airbnb in Indianapolis, you must first register with the city and pay a $150 annual fee. You don't have to live in the home to rent it out, but you must provide proof of $500,000 in liability insurance. You also need to register with the Indiana Department of Revenue for a merchant certificate. Most major booking sites like Airbnb will collect the 17% total tax for you, but you are still responsible for ensuring the city permit number is included in your listing.

At a glance

Key numbers

Permit requiredYes

Night limitNone

Primary residenceNot required

Total tax rate0.2%

Permit fee$150

Processing time10-15 business days

7 things hosts often miss

Common compliance gaps

1You must have a local contact person available 24/7 to respond to issues within 2 hours.
2Indiana state law (IC 36-1-24) prevents the city from banning STRs, but it doesn't exempt you from the $150 registration fee.
3If your property is in an 'Excluded City' like Speedway or Lawrence, you may need to check for additional local rules.
4The permit must be renewed every year; there is no grace period for expired licenses.
5You must display your valid permit number on all listing advertisements.
6Insurance must specifically state coverage for short-term rental activity; standard homeowner's policies often don't qualify.
7Taxes are split: 7% state sales tax and 10% Marion County Innkeeper's tax.

Regulation details

Sourced from official code

Eligibility7 rules

Indianapolis: You can have a co-host or property manager help manage your listing.
Indianapolis, IN: You can have a co-host or property manager help manage your listing.
Indianapolis does NOT require the property to be a primary residence. Investment properties are allowed.
Indianapolis, IN: Your HOA can prohibit short-term rentals even if the city allows them. Check your CC&Rs before applying.

Requirements23 rules

Indianapolis STR warning: Indiana state law (IC 36-1-24) prevents the city from banning STRs, but it doesn't exempt you from the $150 registration fee.
Indianapolis, IN has different permit classes: Standard STR Permit. Hosted vs. unhosted rentals have different requirements.
Indianapolis, IN: Tenants CAN host STRs but must get written landlord approval first. Keep documentation.

Application process8 rules

Step-by-step guide to get an STR permit in Indianapolis: Step 1: Register with Indiana Department of Revenue - Obtain a Registered Retail Merchant Certificate (RRMC) to collect state taxes. Estimated time: Instant. Cost: 25. More info: https://intime.dor.in.gov/ Step 2: Gather Documentation - Obtain a certificate of liability insurance for $500,000 and identify a local contact person available 24/7. Documents needed: Insurance COI, Local contact info. Estimated time: 2-3 days. Step 3: Submit City Permit Application - Apply through the CitizenAccess portal and pay the annual licensing fee. Documents needed: Permit application form, Owner verification. Estimated time: 10-15 days. Cost: 150. More info: https://www.indy.gov/activity/short-term-rentals

Fees & costs1 rule

Indianapolis charges a registration fee of $150 (annual).

Taxes3 rules

Indiana has a state sales tax of 7% that applies to STR rentals.
Indianapolis: Taxes are split: 7% state sales tax and 10% Marion County Innkeeper's tax.

Limits & restrictions4 rules

Indianapolis, IN occupancy calculation: Limited by building code and square footage requirements (typically 2 per bedroom + 2). Count your bedrooms to determine your max guest limit.
Indianapolis enforces quiet hours: 10:00 PM to 7:00 AM.
Indianapolis limits stays to a maximum of 29 nights.

Safety requirements1 rule

Indianapolis requires the following safety measures for STRs: smoke detectors, CO detectors, fire extinguisher, posted maximum occupancy, posted emergency contact, First aid kit recommended, Emergency exit map.

Penalties3 rules

Indianapolis, IN: Repeated violations can result in permanent permit revocation. You would lose the ability to operate any STR.
Indianapolis: Repeated violations can result in permanent permit revocation. You would lose the ability to operate any STR.

Exemptions4 rules

Indianapolis, IN: Rentals of 30+ days are generally NOT considered short-term rentals and may be exempt from STR regulations (but may have other requirements).
Indianapolis: Indiana state law (IC 36-1-24) prevents the city from banning STRs, but it doesn't exempt you from the $150 registration fee.

Frequently asked questions

5 answered

Disclaimer

Regulatory information is AI-researched from public city/county codes for educational purposes. Details may be outdated or incomplete. Always verify requirements directly with your city/county planning department before operating a short-term rental.

Researched & verified by Learn STR at GoStudioM

Indianapolis

Moderate

IndianaUpdated Apr 8, 2026

Gold-standard verification1% sourced

Cross-referenced against 3 official sources — municipal codes, planning-department pages, and government registries.

Verified Jan 30, 2026Sources 3

Summary

Plain-english overview

Restriction level

Severity 11

Classification

Moderate

Severity

Why this classification

Standard permit fee: $150
Permit required
Reporting required
No night cap
No primary residence requirement
Tenants can host

In plain English

What this means for you

At a glance

Key numbers

Permit requiredYes

Night limitNone

Primary residenceNot required

Total tax rate0.2%

Permit fee$150

Processing time10-15 business days

7 things hosts often miss

Common compliance gaps

1You must have a local contact person available 24/7 to respond to issues within 2 hours.
2Indiana state law (IC 36-1-24) prevents the city from banning STRs, but it doesn't exempt you from the $150 registration fee.
3If your property is in an 'Excluded City' like Speedway or Lawrence, you may need to check for additional local rules.
4The permit must be renewed every year; there is no grace period for expired licenses.
5You must display your valid permit number on all listing advertisements.
6Insurance must specifically state coverage for short-term rental activity; standard homeowner's policies often don't qualify.
7Taxes are split: 7% state sales tax and 10% Marion County Innkeeper's tax.

Regulation details

Sourced from official code

Eligibility7 rules

Indianapolis: You can have a co-host or property manager help manage your listing.
Indianapolis, IN: You can have a co-host or property manager help manage your listing.
Indianapolis does NOT require the property to be a primary residence. Investment properties are allowed.
Indianapolis, IN: Your HOA can prohibit short-term rentals even if the city allows them. Check your CC&Rs before applying.

Requirements23 rules

Indianapolis STR warning: Indiana state law (IC 36-1-24) prevents the city from banning STRs, but it doesn't exempt you from the $150 registration fee.
Indianapolis, IN has different permit classes: Standard STR Permit. Hosted vs. unhosted rentals have different requirements.
Indianapolis, IN: Tenants CAN host STRs but must get written landlord approval first. Keep documentation.

Application process8 rules

Step-by-step guide to get an STR permit in Indianapolis: Step 1: Register with Indiana Department of Revenue - Obtain a Registered Retail Merchant Certificate (RRMC) to collect state taxes. Estimated time: Instant. Cost: 25. More info: https://intime.dor.in.gov/ Step 2: Gather Documentation - Obtain a certificate of liability insurance for $500,000 and identify a local contact person available 24/7. Documents needed: Insurance COI, Local contact info. Estimated time: 2-3 days. Step 3: Submit City Permit Application - Apply through the CitizenAccess portal and pay the annual licensing fee. Documents needed: Permit application form, Owner verification. Estimated time: 10-15 days. Cost: 150. More info: https://www.indy.gov/activity/short-term-rentals

Fees & costs1 rule

Indianapolis charges a registration fee of $150 (annual).

Taxes3 rules

Indiana has a state sales tax of 7% that applies to STR rentals.
Indianapolis: Taxes are split: 7% state sales tax and 10% Marion County Innkeeper's tax.

Limits & restrictions4 rules

Indianapolis, IN occupancy calculation: Limited by building code and square footage requirements (typically 2 per bedroom + 2). Count your bedrooms to determine your max guest limit.
Indianapolis enforces quiet hours: 10:00 PM to 7:00 AM.
Indianapolis limits stays to a maximum of 29 nights.

Safety requirements1 rule

Indianapolis requires the following safety measures for STRs: smoke detectors, CO detectors, fire extinguisher, posted maximum occupancy, posted emergency contact, First aid kit recommended, Emergency exit map.

Penalties3 rules

Indianapolis, IN: Repeated violations can result in permanent permit revocation. You would lose the ability to operate any STR.
Indianapolis: Repeated violations can result in permanent permit revocation. You would lose the ability to operate any STR.

Exemptions4 rules

Indianapolis, IN: Rentals of 30+ days are generally NOT considered short-term rentals and may be exempt from STR regulations (but may have other requirements).
Indianapolis: Indiana state law (IC 36-1-24) prevents the city from banning STRs, but it doesn't exempt you from the $150 registration fee.

Frequently asked questions

5 answered

Disclaimer

Researched & verified by Learn STR at GoStudioM

Summary

Restriction level

Why this classification

In plain English

At a glance

7 things hosts often miss

Regulation details

Frequently asked questions

1Do I need a permit for short-term rentals in Indianapolis?

2What is the TOT tax rate in Indianapolis?

3Are short-term rentals allowed in Indianapolis?

4How much does an STR permit cost in Indianapolis?

5Can renters host on Airbnb in Indianapolis?

Disclaimer

Summary

Restriction level

Why this classification

In plain English

At a glance

7 things hosts often miss

Regulation details

Frequently asked questions

1Do I need a permit for short-term rentals in Indianapolis?

2What is the TOT tax rate in Indianapolis?

3Are short-term rentals allowed in Indianapolis?

4How much does an STR permit cost in Indianapolis?

5Can renters host on Airbnb in Indianapolis?

Disclaimer