Cross-referenced against 3 official sources — municipal codes, planning-department pages, and government registries.
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.
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.
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 Details may be outdated or incomplete.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