Short Term Rental Tax

A business is said to be engaged in short term rental if 80% of the gross rental receipts of the business, in any year, are from transactions involving rental periods of 92 days or less. This is a 1% tax, (in addition to the state sales tax), which is assessed to the consumer and collected by the business. The business then reports and pays the amounts collected on a quarterly basis to the Commissioner of the Revenue's Office. Access the short term rental quarterly filing form (PDF).

Short-Term Rental of Real Estate

If you are planning to rent a home that you own or a room out of the home, located in York County, short-term, less than 90 days to guests, you may be required to obtain a Special Use Permit as well as a business license before beginning this activity. It will also be required, if you rent the home or a room in your home for less than 90 days to guests, that you collect Sales & Use Tax from your guest.

Also, if you plan to rent a home or a room out of your home for less than 30 days to guests, you will be required to collect and file for the Transient Occupancy Tax and the Additional $2 Transient Occupancy Tax (Room Tax) from your guest.

Find additional information here. You can also obtain information on how to apply for a Special Use Permit, contact York County Planning at (757)890-3404 or visit their webpage.

Once your Special Use Permit has been approved by the York County Board of Supervisors, you can apply for your Business License. It will also be necessary for you to complete a Consumer Tax Registration Form (PDF).

The following taxes will need to be collected from your guest and submitted on a monthly basis: 

Tax Type: Amount Submitted to:
Sales & Use Tax 7% of nightly charge Virginia Department of Taxation
Transient Occupancy Tax 5% of nightly charge Commissioner of the Revenue
$2 Room Tax $2 charge per guest room per night Commissioner of the Revenue