Vanderburgh County, IN Short-Term Rentals: Permit Requirements (2026)

Indiana enacted partial STR preemption in 2018 through HEA 1035, codified at IC 36-1-24. Under IC 36-1-24-8, a short-term rental of an owner's primary residence is a permitted residential use that may not be disallowed by a unit's zoning ordinance. Under IC 36-1-24-9, units may require a special exception, special use, or zoning variance for non-owner-occupied STRs but may not interpret zoning in a way intended or having the effect of prohibiting or unreasonably restricting all STRs. The statute also caps initial permit fees at $150. Vanderburgh County itself has not enacted a county-level STR licensing ordinance for unincorporated areas. Within Evansville, all residential rentals (including STRs) must register annually with the Evansville-Vanderburgh Building Commission ($5 per parcel) and obtain a certificate of occupancy following inspection. The Vanderburgh County innkeeper's tax of 7% applies to rentals of less than 30 days, in addition to the 7% Indiana state sales tax (IC 6-2.5). Any zoning restriction must be administered consistent with IC 36-1-24's anti-prohibition framework.