Owensboro, KY Short-Term Rentals: Host Platform Liability (2026)

Owensboro's transient room tax division puts the collection duty on whoever actually receives the rent. Section 16-70.39 states that the party receiving the rent, whether the host or the broker, is required to collect all applicable taxes, file the monthly report, and comply with all provisions of the division, including remitting all required tax payments, and then adds that if the broker fails to comply with those obligations, the host remains responsible for complying with all of them. In practice, an Owensboro host who lists a property on Airbnb, VRBO, or Expedia, all named as 'Brokers' in § 16-70.34, cannot point to the platform's own tax remittance program as a defense if that platform fails to file or pay on the host's behalf; the city can pursue the host directly.

Hosts and brokers alike must keep detailed rental records under § 16-70.40, covering both short-term stays and rentals of 30 days or more, and must make those records available for a city audit, including examination of witnesses under oath if the city finds it necessary to determine compliance. The Finance Department may also require certified copies of state and federal tax documents under § 16-70.39(E) to verify a host's or broker's reported figures before accepting a filing as complete.