Ouray County, Colorado
Ridgway, CO vacation rental requirements
Ridgway requires a short-term rental license ($500 new, $400 to renew, good for two years) and a town inspection each time. Homes must have two off-street parking spaces and a local agent within 20 minutes. Owners file town sales and lodging taxes monthly.
Checked against official sources November 8, 2026Download checklist (PDF)Free. A printable version of this guide to tick off, with the official sources.
We read the 2025 application form; ask the town for the lodging tax rate and the full rules in its code.
Your licensing checklist
In order: the state, the county, then the town.
State of Colorado
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
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
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.
Ouray County, Colorado
Get a state sales tax license
Needed for any rental unless a platform covers all your taxes.Source
Then your town or area
Towns set their own rental licenses and collect their own taxes, and the county’s rules cover only areas outside town limits. Pick your area.
Town of Ridgway
Check eligibility
The home must have no more than five bedrooms or ten adult guests. In the DS, HB, and GC zones a building can have no more than five short-term rentals. Duplexes and accessory units have extra ownership questions, and HOA approval is needed where it applies.Source
Apply with your sales tax license
Submit the application with your sales tax license, proof of ownership, any HOA approval, and the fee. The town may ask for a floor plan. Missing items must be supplied within 14 days.Source
Pass the inspection and post the information
The town inspects at approval and every renewal ($50). Have a fire extinguisher, smoke alarms, and a CO detector; post the address and emergency contacts; and leave a folder with owner, agent, and trash-day information. Keep the license on site and put its number in every ad.Source
Taxes on each stay
Stays under 30 days owe 2.9% state and 2.55% Ouray County sales tax plus Ridgway’s town sales and lodging taxes. Airbnb and other platforms collect the state and state-administered taxes on their bookings; for direct bookings, file with the Colorado Department of Revenue. File town sales and lodging tax returns every month, even with no stays. The new 6% county lodging tax doesn’t apply in Ridgway, which has its own.Source
Fees
$550 for a new two-year license with inspection, $450 to renew
| New license (two years) | $500 |
|---|---|
| Renewal | $400 |
| Owner-occupied, one bedroom (new or renewal) | $300 |
| Inspection or reinspection | $50 each |
Inspection checklist
What the inspector looks for, from Town of Ridgway’s published checklist.
- Fire extinguisher, smoke alarms, CO detector
- Posted address and emergency contacts
- Town inspectionAt initial approval and each renewal.Source
Sources
- Sales & Use Tax Topics: Rooms & Accommodations · Colorado Department of Revenue
- Sales Tax Guide and Colorado Sales/Use Tax Rates (DR 1002) · Colorado Department of Revenue
- Short-Term Rental License Application (2025, fillable) · Town of Ridgway
- Colorado Airbnb market data (active listings) · AirROI
- Colorado voters approve new lodging taxes impacting short-term rentals (November 2025) · Avalara MyLodgeTax
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.