Carlsbad, CA Short-Term Rentals: Taxes & Fees (2026)
Key Facts
- Transient occupancy tax rate
- 10% of rent (Ch. 3.12.030)
- STR permit term
- One calendar year, renewed annually
- Permit fee amount
- Set by City Council resolution, not fixed
- TBID assessment (Ch. 3.37)
- Repealed June 10, 2025 by Ord. CS-494
- Tax Administrator
- City Finance Director
- Broker tax duty
- Primary responsibility if broker collects revenue
- Revocation trigger
- 3+ citations in 24 months forces revocation
Summary
Carlsbad requires every short-term vacation rental owner to hold a business license and an annual short-term vacation rental permit before renting or advertising, with the permit fee set by City Council resolution. Permit holders must also collect and remit the city's 10% transient occupancy tax under Chapter 3.12; failing to remit it can trigger permit revocation under Chapter 5.60.
B. Any fee for a short-term vacation rental permit shall be established by resolution of the City Council. ... E. Short-term vacation rental permit holders must comply with the provisions of Carlsbad Municipal Code Chapter 3.12 and Chapter 3.37 regarding the collection and remittance of transient occupancy taxes and the collection and remittance of Carlsbad Tourism and Business Improvement District assessments. Failure to comply with these provisions may result in revocation of a short-term vacation rental permit. A broker that collects any revenue from arranging or listing a short-term rental unit shall have primary responsibility for collecting, paying and transmitting all revenues due to the city pursuant to this section.
Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: rev 5007221; v20 updated 2026-06-16).
Full Breakdown
050). The permit runs for one calendar year and must be renewed annually. 060(B) leaves the dollar amount of the permit fee to a separate City Council resolution rather than fixing it in the code itself, so the current fee schedule sits outside the ordinance text. 37 (the Carlsbad Tourism and Business Improvement District assessment) for collecting and remitting both charges. 37 itself is now marked "(RESERVED)": an editor's note confirms the former TBID chapter was repealed by Ordinance CS-494 on June 10, 2025, so that separate assessment no longer applies to STR operators.
060(E). 12 imposes for late tax remittance. 080: three or more administrative citations, verified code violations, or hearing-officer findings on permit requirements within 24 months force revocation, and a revoked owner cannot reapply for the same or any other Carlsbad short-term rental for 36 months.
Violations & Fines
Operating without paying the required business license or STR permit fee, or without remitting the 10% transient occupancy tax, can cost an owner the short-term vacation rental permit itself under § 5.60.060(E) and § 5.60.080. Unpaid tax also draws Chapter 3.12's own penalties: a 10% original delinquency penalty, another 10% if still unpaid after 30 days, up to 25% for fraud, and 1.5% monthly interest, all merged into the tax owed.
Frequently Asked Questions
Does Carlsbad charge a separate tax for short-term rentals?
Is the Carlsbad Tourism and Business Improvement District assessment still charged on vacation rentals?
Who is responsible for remitting the tax if a booking site handles payment?
What happens if an STR owner does not remit the transient occupancy tax?
Sources & Official References
Other rules in Carlsbad
How Carlsbad compares: Cities with the Highest Short-Term Rental Taxes·California rules heatmap·Compare Carlsbad to another location·View the California short-term rentals overview
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