Do you rent your home or rooms on a vacation rental website like Airbnb or Flipkey? Do you know someone who does? City code refers to these rentals as short-term and accessory short-term rentals
. Please help us spread the word about the required December 31 license renewal deadline, and the requirement to be licensed to operate within the City.
City Council Adopted Changes in Summer 2017
After receiving comments from the public, the Salem City Council approved changes to the Salem Revised Code (SRC) to allow short-term rentals and accessory short-term rentals in a variety of different zones. These changes, effective July 12, 2017, require that those currently renting, or looking to rent, their home must apply for a license with the City of Salem Planning Division and renew the license each year by December 31.
Just like hotels and lodging websites such as Expedia and Priceline, short-term and accessory short-term rental hosts and hosting platforms are required to register with the City of Salem Finance Division in order to report and pay Transient Occupancy Tax (TOT) to the City on a monthly basis. City code requires the operator who facilitates the reservation and collects the payment to pay the tax. While this normally means that the hosting platform (such as Airbnb) is responsible for reporting and paying the tax, it does not relieve individual hosts from their responsibility. Please contact your hosting platform to confirm their compliance with the requirements in Salem Revised Code Chapter 37.
Operators and hosting platforms who don't register and abide by code requirements will be subject to fines and penalties.
How to Register or Renew Your Short-Term or Accessory Short-Term Rental
- Get Licensed / Renew Your Existing License. Contact the City of Salem Planning Division to apply for or renew your license. There are different requirements based on zoning, occupancy, and type of use. More information is available on the Short-Term Rental License page. As part of your license approval you will be automatically registered with the City's Finance Division to Pay TOT.
- Report and Pay TOT. Once licensed and registered you must complete the Operator Monthly Reporting Form and pay the TOT. The form and taxes are due to the City on or before the last day of the month immediately following the month during which someone paid to stay in your home. You must submit the Operator Monthly Reporting Form each month, even if your hosting platform collects and pays the tax on your behalf.
If you have questions/concerns related to a location currently operating within the City, please contact Code Compliance