Owensboro, KY Short-Term Rentals: Taxes & Fees (2026)
Key Facts
- Filing deadline
- Last day of month, every month
- Late fee
- 10% of tax due, $25 minimum
- Late interest
- 6% per year, assessed monthly
- Rent includes
- Cleaning, pet, cancellation, damage fees
- Criminal penalty
- Up to $500 fine or 30 days
Summary
The City of Owensboro defines a short-term rental host and broker, including Airbnb, VRBO, and Expedia, under Municipal Code § 16-70.34, and requires the party collecting the rent to file a monthly tax report. A late report is charged a fee of 10 percent of the tax due, at least $25, plus 6 percent annual interest.
Broker: Any person, business, group or organization who facilitates or solicits a rental of accommodations of less than thirty (30) days by brokering, coordinating, or in any other way arranging for the rental of the accommodations, and includes Airbnb, VRBO, Expedia and similar businesses. Host: Any person, business, group or organization who is the owner of real property, or any lessee of real property pursuant to a written agreement for the lease of such real property, who offers a dwelling unit, or portion thereof, for short-term rental. ... D.Any filing received, or postmarked, after the last day of the month shall be deemed late and shall be charged a late fee of ten (10) percent of the tax due per month (or daily fraction thereof), but in no event shall the late fee be less than twenty-five dollars ($25.00). Additionally, an interest charge of six (6) percent per annum shall be assessed monthly on all late remittances.
Full Breakdown
Division 4 of Municipal Code Chapter 16 defines a short-term rental 'Host' as the owner or lessee of real property who offers a dwelling unit for short-term rental, and a 'Broker' as any person or business, including Airbnb, VRBO, and Expedia, that facilitates or arranges the rental under § 16-70.34. 'Rent' subject to the transient room tax includes not just the nightly charge but pet fees, cleaning fees, rollaway bed or crib fees, damage fees, and cancellation fees, even if billed separately. Section 16-70.39 requires whichever party actually receives the rent, host or broker, to file a monthly report with the City of Owensboro Finance Department by the last day of the month following the rental, remit any tax due with that report, and keep filing every month even when no tax was collected.
A filing received or postmarked after the deadline is charged a late fee of 10 percent of the tax due per month or partial month, with a $25 minimum, plus interest of 6 percent per year assessed monthly on the unpaid balance. The Finance Department can require certified copies of state and federal tax filings to verify the amounts reported, and § 16-70.40 requires hosts and brokers to keep detailed rental records, both short-term and 30-day-plus, that the city may audit and that a taxpayer may be compelled to explain under oath.
Violations & Fines
Missing a monthly filing or tax payment under § 16-70.39 triggers the 10 percent late fee, minimum $25, plus 6 percent annual interest on the unpaid tax. Beyond those civil charges, § 16-70.41 makes any violation of the division a misdemeanor punishable by up to $500 and up to 30 days in jail, with every month a required report was not properly filed counted as a separate offense.
Frequently Asked Questions
Who has to file the Owensboro short-term rental tax report?
What is the penalty for a late short-term rental tax filing in Owensboro?
Do cleaning and pet fees count toward Owensboro's short-term rental tax?
Sources & Official References
Other rules in Owensboro
How Owensboro compares: Cities with the Highest Short-Term Rental Taxes·Compare Owensboro to another location·View the Kentucky short-term rentals overview
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