Indianapolis requires all short-term rental operators to obtain an annual permit for their primary residence. Only property owners are eligible to apply, and tenants are prohibited from hosting. The city requires proof of $500,000 in liability insurance and the permit number must be displayed on all listings. A combined 17% in county and state taxes applies to all stays under 30 days.
To host an Airbnb in Indianapolis, you must own the property and it must be your primary residence; renting out a second home or hosting as a tenant is not allowed. You'll need to get an annual Short Term Rental Permit from the city for $150, which requires providing two forms of proof of residency and proof of at least $500,000 in liability insurance. Once you get your permit, you must include the number in your online listing. Be aware that a hefty 17% tax applies to your bookings, though platforms like Airbnb handle collecting and paying it for you.
Permit Required
Yes
Night Limit
None
Primary Residence
Required
Total Tax Rate
17.0%
Disclaimer
This information is for general guidance only and should not be considered legal advice. Regulations change frequently. Always verify current requirements with local government authorities before operating a short-term rental.
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Permit Fee
$150
Processing Time
2-4 weeks
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