LicensedRental

Virginia city rules

Danville, VA vacation rental rules and taxes

Danville requires a yearly city Short-Term Rental Permit, a business license, and at least one inspection a year. Each bedroom needs an emergency exit plan posted inside the door. Renting a home as its main use takes a special exception from the Board of Zoning Appeals. Stays pay 6.3% sales tax plus an 8% lodging tax.

Checked against official sources November 7, 2026
Market
About 122 Airbnb listings
Growth
Listings up about 800% in three years
A councilman’s figure from 2024, as the casino neared opening.Source
City permit
Required, renewed every January
Put the permit number on every listing.Source
Zoning
Special exception for whole-home rentals
In the listed districts; one rental per parcel outside downtown (CB-C and TW-C).Source
Inspection
At least once a year
By the Zoning Administrator.Source
Local contact
Within 30 miles
Required if you live farther from the city.Source
Taxes
6.3% sales + 8% lodging tax

Three substantiated complaints or violations in 12 months can cost you the permit.

We read the code in a third-party copy. Confirm the districts and permit fee with the city’s zoning office.

What to do

  1. Check your zoning

    A home rented as its main use needs a special exception in the districts the code lists; the Board of Zoning Appeals has decided these since a December 2023 change. Outside the CB-C and TW-C districts, you can have only one short-term rental per parcel without a special use permit.Source

  2. Get a business license, then the permit

    Get business license clearance, register with the Commissioner of the Revenue for lodging tax, then apply for the Short-Term Rental Permit with your contact details, the owner, the address, and proof of homeshare insurance. Permits run January 1 to December 31 and can’t be transferred.Source

  3. Prepare for the inspection

    Install a working multi-purpose fire extinguisher and interconnected smoke detectors, plus carbon monoxide detectors if the home has a fireplace or gas. Post an emergency exit plan inside the door of every sleeping room.Source

  4. Taxes on each stay

    Stays under 90 days owe 6.3% sales tax, and stays under 30 days also owe the local transient occupancy tax. Airbnb collects both on its bookings. If guests pay you directly, file sales tax with Virginia Tax. Danville’s lodging tax is 8% (Cooper Center 2025 survey). Register for it with the Commissioner of the Revenue.Source

Fees

Yearly permitWe couldn’t find the amount.Set by City Council
Non-compliant rental$500 per violation

Source

Inspection checklist

What the inspector looks for, from City of Danville, Virginia’s published checklist.

  • Multi-purpose fire extinguisher
  • Interconnected smoke detectors
  • Carbon monoxide detectorsWhere there’s a fireplace or gas service.Source
  • Emergency exit planPosted inside the door of each sleeping room.Source

House rules for guests

Stays
18 hours to 30 days
Source
Food and events
Not allowed
No meals, drinks, or event services, and no parties, weddings, or luncheons.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.