Short-term rental permit cost in Chicago, IL

Combined lodging tax: 22.59% of revenue. Charged on what you earn, so it is not in the totals above.

3 figures are not yet verified against the city (Application fee, Business licence, Inspection). They are left out of the total rather than counted as zero, so the real first-year cost is higher than shown.

Conditions attached

• Must not be located in a Restricted Residential Zone (RRZ) or on the Prohibited Buildings List (PBL). Hosts with 2 or more registrations must obtain a Shared Housing Unit Operator License (SHUOL). The 22.59% shown is the City tax of 10.5%, the Illinois Hotel Operators' Occupation Tax of 5.64% (6% of 94% of gross receipts, on short-term rentals since July 1, 2025), three state-collected Chicago taxes - the Municipal Hotel Tax (0.99%), the Illinois Sports Facilities Authority tax (1.96%) and the Metropolitan Pier and Exposition Authority tax (2.5%) - and the Cook County Hotel Accommodations Tax of 1%, which the county's code applies to a 'vacation rental of condominiums, apartments or houses'. The Illinois Department of Revenue's Publication 106 counts a short-term rental as a hotel and says the three Chicago taxes are imposed on hotel operators located in the city of Chicago. Licensed platforms remit them on the host's behalf. A registration number must be approved before listing on a platform. Registrations must be renewed annually. If a registration is denied, a Commissioner's Adjustment appeal costs a nonrefundable $360 review fee as of January 1, 2026. The City's 1.5% Tourism Improvement District charge, added 1 May 2026, applies only to licensed hotels of 100 rooms or more in named downtown ZIP codes, not to shared housing.

Source: https://www.chicago.gov/sharedhousing
Checked 2026-10-10