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

**Yes**, the Town of Taos requires a Short-Term Rental permit to operate legally. You need to apply through the Planning Department after obtaining a town business license. The annual fee is $400 if you reside on-site, or $1,000 if you are a non-resident owner. You are limited to one STR permit.

What is the TOT tax rate in Taos?

**7% Lodgers' Tax** is the required tax rate for short-term rentals in the Town of Taos. You need to collect this tax from your guests. Many platforms collect this on your behalf but you must still file monthly or quarterly reports with the town, even if no tax is due directly from you.

Are short-term rentals allowed in Taos?

**Yes**, short-term rentals are permitted in the Town of Taos, but they are subject to specific regulations. You need to obtain a business license and an STR permit, pay the 7% Lodgers' Tax, and adhere to the rule that each owner can only hold one STR permit within the town limits.

How much does an STR permit cost in Taos?

**$400 or $1,000** depending on residency. If you live at the property you plan to rent, the annual STR permit fee is $400. If you are a non-resident owner, the annual fee is $1,000. This is in addition to the requirement to obtain a standard town business license to operate any business.

Can renters host on Airbnb in Taos?

**No**, the current regulations in Taos do not allow tenants to operate short-term rentals. To host in Taos, you need to be the property owner and obtain the required business license and short-term rental permit. Landlords also need to adhere to the one-permit-per-owner rule within the town limits.

Taos, NM Short-Term Rental Laws & Regulations

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Verified: Jan 30, 2026

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Summary

The Town of Taos requires all short-term rental operators to obtain both a business license and a specific STR permit, with fees varying based on whether the owner resides on-site. The town imposes a 7% Lodgers' Tax and limits owners to holding only one STR permit at a time.

Restriction Level

⛔

Strict

Score: 41 (moderate)

Why this classification:

•Moderate permit fee: $400
•Limited to 1 property per owner
•Tenants cannot host
•Permit required
•Reporting required
•No night cap
•No primary residence requirement

In Plain English

To host an Airbnb in the Town of Taos, you must first secure a town business license and then apply for a Short-Term Rental (STR) permit through the Planning Department. If you live at the property, you'll pay a lower annual fee of $400, while non-resident owners pay $1,000. You are only allowed to operate one STR property within town limits. You must also collect 7% Lodgers' Tax from guests, which many platforms handle for you, but you must still file monthly or quarterly reports with the town even if no tax is due directly from you.

At a Glance

Permit Required

Yes

Night Limit

None

Primary Residence

Not Required

Total Tax Rate

0.1%

Permit Fee

$400

Processing Time

30-60 days

7 Things Hosts Often Miss

1.You may only own and operate ONE short-term rental within the Town of Taos limits.
2.Town limits are very specific; check your address against the town map as Taos County (unincorporated) has different rules.
3.A minimum 2-night stay is required for all short-term rentals.
4.Property owners must maintain a local contact person available 24/7 to respond to complaints within 60 minutes.
5.Non-owner occupied permits (Type B) are significantly more expensive ($1,000) than owner-occupied permits ($400).
6.ADUs or 'casitas' cannot be rented as STRs unless the owner lives in the primary dwelling on the same lot.
7.Failure to display your permit number in all online advertisements can result in fines and permit suspension.

Regulation Details

Eligibility(8)

•Taos does NOT allow tenants to host STRs. Only property owners may operate short-term rentals.
•Taos: You can have a co-host or property manager help manage your listing.
•Taos prohibits STRs in the following property types: Apartments, Condominiums, Townhouses, Units sharing common walls/floors.
•Taos does NOT require the property to be a primary residence. Investment properties are allowed.

Requirements(15)

•Taos STR warning: Boundary Warning: Taos County (unincorporated) has different rules; verify your property is within Town limits.
•Taos STR warning: Fire Inspection: An annual inspection by the Town Fire Marshal is mandatory before permit issuance.
•Taos STR warning: Strict 120-permit cap: Once reached, no new permits are issued until one becomes available.

Application Process(9)

•Taos STR permit - Step 4: Submit Application. Submit complete application packet starting April 1st. Permits are first-come, first-served until the 120-permit cap is reached. Required documents: Hard copy CRS ID, Fire inspection cert, Insurance proof, Rental packet. Time: 2-4 weeks. Cost: 300.

Fees & Costs(2)

•Taos charges a registration fee of $300 (annual). Extended/additional fee: $525 (A fee of $525 is cited in Ordinance 22-12, but recent 2024-2025 town guides and application checklists list $300 (plus $100 affordable housing fee if applicable).).
•Taos: Affordable Housing Fee: Non-primary residences must pay an additional $100 fee to the Housing Fund.

Taxes(1)

•Taos charges a Lodgers' Tax of 5%. This applies to stays under 30 days. Platforms like Airbnb collect and remit this tax. Note: Airbnb remits the 5% Lodgers' Tax; other platforms may vary. Hosts still responsible for 8.5% NM Gross Receipts Tax.

Limits & Restrictions(7)

•Taos: One Permit per Owner: Individuals are generally limited to one STR permit town-wide.
•Taos: Strict 120-permit cap: Once reached, no new permits are issued until one becomes available.
•Taos enforces quiet hours: 10:00 PM to 8:00 AM.
•Taos limits stays to a maximum of 30 nights.

Safety Requirements(2)

•Taos: Fire Inspection: An annual inspection by the Town Fire Marshal is mandatory before permit issuance.
•Taos requires the following safety measures for STRs: smoke detectors, CO detectors, fire extinguisher, fire inspection, posted maximum occupancy, posted emergency contact, Annual fire inspection by Town Fire Marshal, Rental packet must be provided to guests.

Penalties(3)

•Taos: Serious or repeated STR violations can result in criminal charges, not just fines.
•Taos: Repeated violations can result in permanent permit revocation. You would lose the ability to operate any STR.

Exemptions(2)

•Taos: Rentals of 30+ days are generally NOT considered short-term rentals and may be exempt from STR regulations (but may have other requirements).
•Taos exempts the following from STR regulations: long-term rentals (30+ days).

0.1% total tax

Taos

Gold Standard Verification

Summary

Restriction Level

Why this classification:

In Plain English

At a Glance

7 Things Hosts Often Miss

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Regulation Details

Eligibility(8)

Requirements(15)

Application Process(9)

Fees & Costs(2)

Taxes(1)

Limits & Restrictions(7)

Safety Requirements(2)

Penalties(3)

Exemptions(2)

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Step-by-Step Application Guide

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Frequently Asked Questions

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Taos

Gold Standard Verification

Summary

Restriction Level

Why this classification:

In Plain English

At a Glance

7 Things Hosts Often Miss

Step-by-Step Application Guide

Upgrade to Pro

Frequently Asked Questions

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

2What is the TOT tax rate in Taos?

3Are short-term rentals allowed in Taos?

4How much does an STR permit cost in Taos?

5Can renters host on Airbnb in Taos?

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