What is the TOT tax rate in Sequim, WA?

**2%** is the transient occupancy tax rate for short-term rentals in Sequim. Hosts are responsible for collecting this tax from guests and remitting it to the city. In addition to the city rate, hosts must collect 8.5% for state lodging tax, bringing the total lodging tax to 10.5%.

How much does a business license cost in Sequim, WA?

**$50** is the cost of a general business license with city endorsement. You need this license to operate a short-term rental legally within Sequim. This can be obtained via the Washington Department of Revenue. Make sure to renew the license annually to maintain compliance with local regulations.

Are short-term rentals allowed in Sequim, WA?

**Yes**, short-term rentals are allowed in Sequim, WA, but they are regulated under the 'Bed and Breakfast' and 'Transient Lodging' zoning definitions. You must comply with the City of Sequim zoning regulations and obtain the necessary business license. Always check with the city's planning department for any specific zoning restrictions.

Sequim

Q: Do I need a permit for short-term rentals in Sequim, WA?

**No**, there is currently no local STR-specific license required in Sequim, though state and county regulations may still apply. You need a standard City of Sequim Business License endorsement, obtained via the Washington Department of Revenue. Ensure you comply with all state-level requirements for short-term rentals.

Moderate

WashingtonUpdated Apr 16, 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

The City of Sequim does not have a specific STR ordinance but regulates rentals under the 'Bed and Breakfast' and 'Transient Lodging' zoning definitions. Hosts must obtain a standard City of Sequim Business License endorsement via the Washington Department of Revenue and collect a total lodging tax of 10.5%.

Restriction level

Severity 8

Classification

Moderate

Severity

Why this classification

Permit required
Reporting required
No night cap
No primary residence requirement

In plain English

What this means for you

To host an Airbnb in the City of Sequim, you need to treat it like a small business. First, get a Washington State business license and add the 'Sequim City Endorsement' to it. You don't need a special STR permit, but you must make sure your home is in a residential zone that allows 'transient lodging.' You are responsible for collecting the 10.5% lodging tax, though major platforms like Airbnb often handle the collection for you automatically.

At a glance

Key numbers

Permit requiredYes

Night limitNone

Primary residenceNot required

Total tax rate0.1%

Permit fee$50

Processing time2-4 weeks

6 things hosts often miss

Common compliance gaps

1Verify your address is inside city limits; much of the Sequim area is actually unincorporated Clallam County which has different rules.
2Short-term rentals are generally defined as stays under 30 days.
3You must have a valid Washington State Unified Business Identifier (UBI) number.
4Accessory Dwelling Units (ADUs) may have specific occupancy and parking restrictions under SMC 18.21.
5Even if the city allows it, your Homeowners Association (HOA) may have stricter bans on short-term rentals.
6The 10.5% tax rate includes a 6.5% state sales tax, a 2% local sales tax, and a 2% special lodging tax.

Regulation details

Sourced from official code

Eligibility7 rules

Sequim: You can have a co-host or property manager help manage your listing.
Sequim prohibits STRs in the following property types: Recreational Vehicles, Tents.
Sequim: Your HOA can prohibit short-term rentals even if the city allows them. Check your CC&Rs before applying.
Sequim, WA: Your HOA can prohibit short-term rentals even if the city allows them. Check your CC&Rs before applying.

Requirements13 rules

Common mistakes and gotchas for STR hosts in Sequim: 1. Verify your address is inside city limits; much of the Sequim area is actually unincorporated Clallam County which has different rules. 2. Short-term rentals are generally defined as stays under 30 days. 3. You must have a valid Washington State Unified Business Identifier (UBI) number. 4. Accessory Dwelling Units (ADUs) may have specific occupancy and parking restrictions under SMC 18.21. 5. Even if the city allows it, your Homeowners Association (HOA) may have stricter bans on short-term rentals. 6. The 10.5% tax rate includes a 6.5% state sales tax, a 2% local sales tax, and a 2% special lodging tax.

Application process10 rules

Sequim, WA: To apply for an STR permit, you'll need: State Business License, City Endorsement, Unified Business Identifier (UBI) number.

Fees & costs1 rule

Sequim charges a registration fee of $50 (annual).

Taxes3 rules

Sequim: The 10.5% tax rate includes a 6.5% state sales tax, a 2% local sales tax, and a 2% special lodging tax.
Washington has a state sales tax of 6.5% that applies to STR rentals.
Sequim charges a Lodging Tax of 2%. This applies to stays under 30 days. Platforms like Airbnb collect and remit this tax. Note: Washington State DOR has marketplace facilitator agreements with Airbnb/VRBO

Limits & restrictions5 rules

Sequim, WA occupancy calculation: Subject to fire code occupancy limits. Count your bedrooms to determine your max guest limit.
Sequim limits stays to a maximum of 29 nights.
Sequim occupancy calculation: Subject to fire code occupancy limits. Count your bedrooms to determine your max guest limit.
Sequim enforces quiet hours: 10:00 PM to 7:00 AM.

Safety requirements1 rule

Sequim requires the following safety measures for STRs: smoke detectors, CO detectors, fire extinguisher.

Penalties4 rules

Sequim: Short-term rentals are generally defined as stays under 30 days.
Sequim enforces the following penalties for STR violations: First offense: Notice of Violation. Second offense: Civil infraction. Third offense: License revocation. Daily fine: Variable based on SMC 1.13. Permit may be revoked for violations.

Exemptions3 rules

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

Frequently asked questions

4 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

Sequim

Moderate

WashingtonUpdated Apr 16, 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 8

Classification

Moderate

Severity

Why this classification

Permit required
Reporting required
No night cap
No primary residence requirement

In plain English

What this means for you

At a glance

Key numbers

Permit requiredYes

Night limitNone

Primary residenceNot required

Total tax rate0.1%

Permit fee$50

Processing time2-4 weeks

6 things hosts often miss

Common compliance gaps

1Verify your address is inside city limits; much of the Sequim area is actually unincorporated Clallam County which has different rules.
2Short-term rentals are generally defined as stays under 30 days.
3You must have a valid Washington State Unified Business Identifier (UBI) number.
4Accessory Dwelling Units (ADUs) may have specific occupancy and parking restrictions under SMC 18.21.
5Even if the city allows it, your Homeowners Association (HOA) may have stricter bans on short-term rentals.
6The 10.5% tax rate includes a 6.5% state sales tax, a 2% local sales tax, and a 2% special lodging tax.

Regulation details

Sourced from official code

Eligibility7 rules

Sequim: You can have a co-host or property manager help manage your listing.
Sequim prohibits STRs in the following property types: Recreational Vehicles, Tents.
Sequim: Your HOA can prohibit short-term rentals even if the city allows them. Check your CC&Rs before applying.
Sequim, WA: Your HOA can prohibit short-term rentals even if the city allows them. Check your CC&Rs before applying.

Requirements13 rules

Common mistakes and gotchas for STR hosts in Sequim: 1. Verify your address is inside city limits; much of the Sequim area is actually unincorporated Clallam County which has different rules. 2. Short-term rentals are generally defined as stays under 30 days. 3. You must have a valid Washington State Unified Business Identifier (UBI) number. 4. Accessory Dwelling Units (ADUs) may have specific occupancy and parking restrictions under SMC 18.21. 5. Even if the city allows it, your Homeowners Association (HOA) may have stricter bans on short-term rentals. 6. The 10.5% tax rate includes a 6.5% state sales tax, a 2% local sales tax, and a 2% special lodging tax.

Application process10 rules

Sequim, WA: To apply for an STR permit, you'll need: State Business License, City Endorsement, Unified Business Identifier (UBI) number.

Fees & costs1 rule

Sequim charges a registration fee of $50 (annual).

Taxes3 rules

Sequim: The 10.5% tax rate includes a 6.5% state sales tax, a 2% local sales tax, and a 2% special lodging tax.
Washington has a state sales tax of 6.5% that applies to STR rentals.
Sequim charges a Lodging Tax of 2%. This applies to stays under 30 days. Platforms like Airbnb collect and remit this tax. Note: Washington State DOR has marketplace facilitator agreements with Airbnb/VRBO

Limits & restrictions5 rules

Sequim, WA occupancy calculation: Subject to fire code occupancy limits. Count your bedrooms to determine your max guest limit.
Sequim limits stays to a maximum of 29 nights.
Sequim occupancy calculation: Subject to fire code occupancy limits. Count your bedrooms to determine your max guest limit.
Sequim enforces quiet hours: 10:00 PM to 7:00 AM.

Safety requirements1 rule

Sequim requires the following safety measures for STRs: smoke detectors, CO detectors, fire extinguisher.

Penalties4 rules

Sequim: Short-term rentals are generally defined as stays under 30 days.
Sequim enforces the following penalties for STR violations: First offense: Notice of Violation. Second offense: Civil infraction. Third offense: License revocation. Daily fine: Variable based on SMC 1.13. Permit may be revoked for violations.

Exemptions3 rules

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

Frequently asked questions

4 answered

Disclaimer

Researched & verified by Learn STR at GoStudioM

Summary

Restriction level

Why this classification

In plain English

At a glance

6 things hosts often miss

Regulation details

Frequently asked questions

1Do I need a permit for short-term rentals in Sequim, WA?

2What is the TOT tax rate in Sequim, WA?

3How much does a business license cost in Sequim, WA?

4Are short-term rentals allowed in Sequim, WA?

Disclaimer

Summary

Restriction level

Why this classification

In plain English

At a glance

6 things hosts often miss

Regulation details

Frequently asked questions

1Do I need a permit for short-term rentals in Sequim, WA?

2What is the TOT tax rate in Sequim, WA?

3How much does a business license cost in Sequim, WA?

4Are short-term rentals allowed in Sequim, WA?

Disclaimer