| Rule | Details |
|---|---|
| Regulatory Status | Permitted with registration |
| Permit / License Required | Yes — three permits/licenses required before advertising or operating: (1) Tourist Rooming House (TRH) License from Public Health Madison & Dane Count |
| Tax Rate | City of Madison transient room tax: 10% (on stays <30 days). Wisconsin state sales tax: 5% + Dane County sales tax: 0.5% = 5.5% combined sales tax. To |
| Night / Day Cap | If host is NOT on-site during guest stays: maximum 30 nights per licensing year (July 1–June 30). If host IS on-site overnight during each guest stay: |
| Minimum Stay | 1 night minimum under standard ZTRHP1 permit. Hosts who exclusively advertise/accept stays of 7–29 consecutive nights may qualify for alternate zoning |
| Permit Fee | PHMDC TRH License: $535 initial fee (includes $375 pre-inspection fee); annual renewal ~$160. City ZTRHP1 Zoning Permit: $300 one-time non-refundable |
| Penalties | Zoning violations: fines of $500–$1,000 per day. Operating without a TRH license (PHMDC): fines up to $1,000 per day of illegal operation. ZTRHP permi |
| Primary Residence Required | Yes — the STR must be the host's primary dwelling (true, fixed, and permanent home for at least 183 days/calendar year) at time of operation AND for t |
| Occupancy Limit | Maximum guests = 2 × number of legal bedrooms, capped at 12 people total. Children under 12 are not counted toward the cap. A legal bedroom must have |
Short-term rental operations in Madison, Wisconsin are permitted under an active regulatory framework as of 2026. Hosts operating on Airbnb, VRBO, or other vacation rental platforms must obtain proper licensing: Yes — three permits/licenses required before advertising or operating: (1) Tourist Rooming House (TRH) License from Public Health Madison & Dane County (PHMDC); (2) City of Madison Finance Department . The associated permit fees are PHMDC TRH License: $535 initial fee (includes $375 pre-inspection fee); annual renewal ~$160. City Z.
Short-term rental operators in Madison should be aware of these tax obligations: City of Madison transient room tax: 10% (on stays <30 days). Wisconsin state sales tax: 5% + Dane County sales tax: 0.5% = 5.5% combined sales tax. Total combined effective rate: ~15.5%. Airbnb collects and remits both room tax and sales tax for plat. Yes — hosts must: (a) obtain a Wisconsin Seller's Permit from the Wisconsin Dept. of Revenue (waived if listing exclusively on Airbnb/VRBO); (b) regis.
Key operational rules for vacation rental hosts in Madison include: Primary residence requirement: Yes — the STR must be the host's primary dwelling (true, fixed, and permanent home for at least 183 days/calendar year) . Rental day cap: If host is NOT on-site during guest stays: maximum 30 nights per licensing year (July 1–June 30). If host IS on-site ove. Occupancy limit: Maximum guests = 2 × number of legal bedrooms, capped at 12 people total. Children under 12 are not counted toward the c. Minimum stay: 1 night minimum under standard ZTRHP1 permit. Hosts who exclusively advertise/accept stays of 7–29 consecutive nights ma.
Zoning considerations for short-term rentals in Madison: TRHs are permitted in all residential dwelling units city-wide, but only within the unit that is the operator's primary residence. Certain zones (particularly near UW campus and historic neighborhoods. Density rules: No explicit city-wide density cap per neighborhood sourced. Permit is issued per host per specific dwelling unit (non-transferable); each operator may. Insurance: Proof of insurance is strongly recommended and referenced as part of documentation for renewal; host.
Hosts who fail to comply with Madison's short-term rental regulations may face enforcement action. Zoning violations: fines of $500–$1,000 per day. Operating without a TRH license (PHMDC): fines up to $1,000 per day of illegal operation. ZTRHP permit may be revoked for repeated violations. Failure .
Platform obligations for services like Airbnb, VRBO, and Booking.com operating in Madison: Platforms (Airbnb, VRBO) collect and remit Wisconsin state sales tax (5.5%) and City of Madison room tax (10%) on behalf of hosts for bookings made through their platforms. Hosts using other booking c.
Apply for your STR permit or registration directly through the official government portal.
Official Source ↗Yes, Airbnb and short-term rentals are legal in Madison with proper registration and permits. Operators must submit quarterly reports (ZTRHP-QR forms) to Madison Zoning within one month after each quarter ends (due Feb 1, May 1, Aug 1, Nov 1), even if no stays occurred. Reports must include: l
Yes. Madison requires the following for short-term rental operation: Yes — three permits/licenses required before advertising or operating: (1) Tourist Rooming House (TRH) License from Public Health Madison & Dane County (PHMDC); (2) City of Madison Finance Department Room Tax Registration; (3) City of Madison Zoning Tourist Rooming House Permit (ZTRHP1) from Buildin.
Short-term rental hosts in Madison are subject to the following tax obligations: City of Madison transient room tax: 10% (on stays <30 days). Wisconsin state sales tax: 5% + Dane County sales tax: 0.5% = 5.5% combined sales tax. Total combined effective rate: ~15.5%. Airbnb collects and remits both room tax and sales tax for platform bookings; hosts using other channels (VRBO di.
Hosts who operate without proper permits in Madison may face enforcement. Zoning violations: fines of $500–$1,000 per day. Operating without a TRH license (PHMDC): fines up to $1,000 per day of illegal operation. ZTRHP permit may be revoked for repeated violations. Failure to properly collect/remit taxes can result in addi.
STRs are allowed in Madison but subject to strict primary-residence and host-presence rules. The 30-night unhosted cap is a significant constraint for investors seeking whole-home rentals. Madison is regarded as STR-friendly but with one of the more comprehensive local regulatory frameworks in Wisconsin. Non-owner operators (tenants) must have explicit written landlord permission to operate a TRH.
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