Short-term rental permit rules in Garfield, NJ — also called Airbnb permits, vacation rental licenses, or STR registration — list the application steps, fees, and operating requirements for hosting.
Garfield does not have a stand-alone short-term rental ordinance. Operators of any boarding house, rooming house, or place rented for sleeping purposes must hold a permit and license under Chapter 131 (Dwelling and Rooming Units, originally adopted Sept. 1, 1970). Statewide, P.L. 2018 c. 49 (effective Oct. 1, 2018, amended by P.L. 2019 c. 235) imposes 6.625% NJ Sales Tax and the 5% State Occupancy Fee on transient accommodations booked through marketplaces such as Airbnb and Vrbo. Municipal Occupancy Tax up to 3% is authorized by N.J.S.A. 40:48F-1.
Garfield regulates rentals on three layers, none of them an Airbnb-specific ordinance. Local layer: Chapter 131 of the Garfield Code (Dwelling and Rooming Units) provides that no person, firm, or corporation may operate, conduct, lease, or rent a boarding house, rooming house, or other place used for sleeping purposes unless a permit is granted by the Garfield Zoning Officer and a license is in force. Every sleeping room for one occupant must be at least 70 sq ft of floor space, and at least 50 sq ft per occupant for multi-occupant rooms. Each licensed premises must be in charge of a custodian or caretaker responsible for compliance with all applicable Garfield ordinances; the chapter is enforced by Garfield Fire Safety Officials under the Uniform Fire Safety Act (N.J.S.A. 52:27D-192 et seq.), Housing Inspectors, the Zoning Officer, and the Police Department. Landlord identity must be registered with the NJ Department of Community Affairs under the Landlord Identity Registration Act (N.J.S.A. 46:8-27 et seq., N.J.A.C. 5:8). A separate Certificate of Continued Occupancy is required upon change of occupancy under Garfield Chapter 75. State tax layer: P.L. 2018 c. 49 (eff. 10/1/2018) extended NJ Sales Tax (6.625%) and the State Occupancy Fee (5%) to transient accommodations rented through a transient space marketplace or operated as a professionally managed unit. P.L. 2019 c. 235 narrowed the rule so direct owner rentals of fewer than three units (no marketplace, not professionally managed) are exempt from State Sales Tax and the State Occupancy Fee. Marketplace tax: under N.J.S.A. 40:48F-1 et seq., NJ municipalities may impose a Municipal Occupancy Tax of up to 3% on transient accommodations.
Operating a rooming/boarding/sleeping accommodation without the Garfield permit and license required by Chapter 131 is a municipal ordinance violation; under N.J.S.A. 40:49-5 the maximum penalty is up to $2,000 per offense and up to 90 days imprisonment, plus license revocation and stop-rent orders. Failure to register and remit NJ Sales Tax or the State Occupancy Fee under N.J.S.A. 54:32B-2 and N.J.S.A. 54:32D-1 et seq. results in back taxes, interest, and civil penalties up to 25% of tax due. Marketplaces that fail to collect under P.L. 2018 c. 49 are themselves liable.
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