LicensedRental

Douglas County, Colorado

Castle Rock, CO vacation rental requirements

Castle Rock has had no short-term rental ordinance; the town requires a business license and collects its own sales tax, which platforms didn’t remit when we last saw it reported (2020). Check your HOA, since many ban stays under a month.

Checked against official sources November 8, 2026

Download checklist (PDF)Free. A printable version of this guide to tick off, with the official sources.

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Market
About 100 Airbnb listings
Town rental rules
Business license only
As reported in 2020.Source
Town sales tax
4%
Collected by the town; file it yourself unless your platform has an agreement.Source

This comes from a 2020 news report; we didn’t find a current town page. Confirm with the Town of Castle Rock before you list.

Your licensing checklist

In order: the state, the county, then the town.

State of Colorado

  1. Get a state sales tax license

    If you rent rooms or a home for stays under 30 days, Colorado requires a sales tax license from the Department of Revenue. Platforms like Airbnb collect the state and state-administered taxes on their bookings; you file for anything booked directly.Source

    MyBiz Colorado →

  2. Check for home-rule city taxes

    Many cities and mountain towns collect their own sales and lodging taxes. Platforms aren’t required by the state to collect these, so you may need a separate city tax license and returns.Source

  3. Get your county or city rental license

    Most Colorado mountain counties and towns, and Denver, require a short-term rental license or permit, often with an inspection, an occupancy limit, posted information, and a local responder. Pick your area for the rules.

Douglas County, Colorado

  1. Then your town or area

    Cities and towns make their own rental rules inside their limits; the county’s rules apply only outside them. Pick your area.

Town of Castle Rock

  1. Get a town business license and sales tax account

    Castle Rock requires a business license for short-term rentals and collects its own 4% sales tax. In 2020 Airbnb and Vrbo didn’t remit town tax, so plan to file it yourself unless the town tells you otherwise.Source

  2. Taxes on each stay

    Stays under 30 days owe 2.9% state, Douglas County and RTD taxes, and Castle Rock’s 4% town sales tax. Airbnb and other platforms collect the state and state-administered taxes on their bookings; for direct bookings, file with the Colorado Department of Revenue. Castle Rock is a home-rule town; ask whether it has since added a lodging tax and whether platforms now collect town tax.Source

Sources

A plain-language summary to help you prepare, not legal advice. Rules and fees change; confirm with the office before you apply. Spot something out of date? Email hello@licensedrental.com.