Independence, MO Short-Term Rentals: Taxes & Fees (2026)

Section 14-424-04 of the Unified Development Ordinance requires every short-term rental to 'comply with the requirements of Article 3, Chapter 5 of the City Code of Independence, Missouri,' which is the City's transient guest tax article. Section 5.03.003 sets the rate: a tax of 'six and one-half percent of the gross daily rent due from or paid by transient guests,' charged in addition to the occupation license fee already required to operate. The Director of Finance administers and levies the tax.

Before listing a property on any booking website, the short-term rental applicant must show the City that a voluntary collection agreement already exists with that platform. If the City has no such agreement with a given platform, Section 14-424-04-B requires the property owner to sign a separate agreement personally covering collection and remittance of the tax on that platform's bookings.

Once collecting, an operator must file a monthly return with the Director of Finance by the 20th day of the month following the month rents were charged, remitting the full tax collected at the same time, per Section 5.03.004; the Director can shorten that reporting window for an operator with a delinquency history. Section 5.03.005 sets the penalty for late payment: a 10 percent penalty on the tax due for the first month it is unpaid, plus 2 percent for every month after that, and the tax becomes delinquent 30 days after its due date. Filing a false statement or failing to file or pay is punishable, on conviction, by a fine of up to $500.00 or up to three months in jail, or both. Falling delinquent also triggers the suspension and revocation procedures of Chapter 5, Article 1, and the City will not reinstate a lodging business license until back taxes, penalties and interest are paid or a signed payment agreement is in place.