Anderson, IN Short-Term Rentals: Taxes & Fees (2026)
Key Facts
- Indiana sales tax
- 7%
- Madison County innkeeper's tax
- 5%
- Approx. total lodging tax
- ~12%
- Taxable stay length
- Less than 30 days
- City permit fee cap
- $150 (IC 36-1-24-13)
Summary
Anderson STR stays under 30 days owe Indiana's 7% state sales tax plus the Madison County innkeeper's tax of 5%, roughly 12% total. Any city permit fee is capped by state law at $150.
CIT is a county tax on the rental of rooms and accommodations for periods of less than 30 days. CIT is in addition to state sales tax.
Full Breakdown
The Madison County innkeeper's tax is a county tax on the rental of rooms and accommodations for periods of less than 30 days, in addition to state sales tax. Madison County's rate is 5% (per the Indiana DOR rate table), stacked on Indiana's 7% state sales tax, for about 12% total on Anderson lodging. The tax is administered by the Indiana Department of Revenue. Stays of 30 days or longer are not subject to the innkeeper's tax. On the fee side, IC 36-1-24-13 caps any city STR permit fee at $150 and bars charging to renew a permit; Anderson has no STR permit fee at present.
Violations & Fines
Unremitted state sales tax and Madison County innkeeper's tax accrue penalties and interest assessed by the Indiana Department of Revenue; sustained non-payment can trigger audit and collection action.
Frequently Asked Questions
What tax do Anderson STR guests pay?
Are long stays taxed?
Sources & Official References
Other rules in Anderson
How Anderson compares: Cities with the Highest Short-Term Rental Taxes·Compare Anderson to another location·View the Indiana short-term rentals overview
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