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Louisville, KY Short-Term Rentals: Taxes & Fees (2026)

Significant Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified September 2026

Key Facts

Transient room tax
8.5% of rent charged
Room tax authority
LMCO Chapter 121
Occupational license tax
LMCO Chapter 110
Must register with
Louisville Metro Revenue Commission
Annual registration fee
$250, separate from taxes

Summary

Louisville Metro short-term rental hosts must register with the Revenue Commission and pay the 8.5% transient room tax plus the local occupational license tax on rental income.

(A) Pursuant to LMCO Chapter 121, transient room taxes are to be collected and paid by the Host to the Louisville Metro Revenue Commission. Transient occupancy taxes are ultimately the responsibility of the host... (B) Pursuant to LMCO Chapter 110, the Host is subject to occupational license taxes to the Louisville Metro Government. (C) The Host shall register with the Louisville Metro Revenue Commission to ensure compliance with all applicable local taxes including the transient room tax and occupational license tax.

Source: Louisville Municipal CodeView official code

Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: 2026 S-47: Supplement contains: Local legislation current through Ordinances passed by the Council and approved by the Mayor as of July 1, 2026).

Full Breakdown

Under Louisville Metro Code § 115.519, every short-term rental Host must register with the Louisville Metro Revenue Commission and comply with two taxes: the transient room tax under LMCO Chapter 121, currently totaling 8.5% of rent charged (five separate state-authorized levies stacked under KRS 91A.390, KRS 153.440, and KRS 91A.392), and the occupational license tax under LMCO Chapter 110 on income earned from the rental. A hosting platform may collect and remit the room tax on the Host's behalf only if it has signed a collection agreement with Metro Government, but the Host remains ultimately liable for both taxes regardless.

Violations & Fines

Louisville Metro can revoke a short-term rental's registration and bar the Host from reapplying for one year; the Director may also pursue civil, injunctive, or other court enforcement under § 115.522.

Frequently Asked Questions

Do Airbnb hosts in Louisville pay hotel tax?
Yes. Louisville Metro's 8.5% transient room tax (LMCO Ch. 121) applies to short-term rentals, and hosts also owe the local occupational license tax under LMCO Ch. 110.
Can Airbnb pay the tax for me instead of me filing it?
Only if the hosting platform has a signed collection agreement with Louisville Metro Government; otherwise the Host must remit the tax directly to the Revenue Commission.

Sources & Official References

Other rules in Louisville

All Louisville rules

How Louisville compares: Cities with the Highest Short-Term Rental Taxes·Compare Louisville to another location·View the Kentucky short-term rentals overview

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