Virginia city rules
Lynchburg, VA vacation rental rules and taxes
Lynchburg is the region’s largest Airbnb market. Every short-term rental registers with the city ($150) through its Citizen Portal, and no more than four unrelated people may stay. Stays pay 5.3% sales tax plus the city’s 6.5% lodging tax and $1 per room per night.
Checked against official sources November 7, 2026When the ordinance was drafted in 2019, the Planning Commission backed owner occupancy in the R-C, R-1, and R-2 districts (the owner doesn’t have to be home during stays). We couldn’t read the adopted section, Sec. 35.2-71.16. Ask Zoning whether your district requires owner occupancy.
City Council heard a proposal in June 2025 to raise the lodging tax to 8.5% plus $3 a night. The city’s current return form still shows 6.5% plus $1.
What to do
Register on the Citizen Portal
Create a listing on the city’s Citizen Portal. Zoning approves a new property first; then you pay the $150 registration fee. Owners represented by a licensed real estate agent are exempt. A rental started in a new calendar year needs its own registration.Source
Meet the building code
The rented space must meet the Uniform Statewide Building Code. The city inspects only after a complaint.Source
Taxes on each stay
Stays under 90 days owe 5.3% 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. Lynchburg’s lodging tax is 6.5% plus $1.00 per room per night, due by the 20th of the next month. If a platform doesn’t collect it, file with the Commissioner of the Revenue.Source
Fees
| Registration | $150 |
|---|---|
| Renting without registering | $500 civil penalty |
Sources
- Short Term Rentals · City of Lynchburg Zoning and Natural Resources
- Lodging Tax Return · City of Lynchburg Commissioner of the Revenue
- Virginia Airbnb market data (active listings) · AirROI
- Public Hearing to Receive Input on Proposed Increase to Transient Lodging Tax (June 10, 2025) · City of Lynchburg
- Lynchburg Planning Commission votes to proceed with short term rental ordinance (March 28, 2019) · WSET
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 Spot something out of date?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.