LicensedRental

Virginia county rules

Washington County, VA vacation rental rules and taxes

Washington County, home to Abingdon, Damascus, and the Virginia Creeper Trail, is the biggest rental market in Far Southwest Virginia. Stays pay 5.3% sales tax plus a 7% lodging tax. Abingdon allows only owner-occupied “HomeStays,” and Damascus has limited new rentals in its residential zones since 2024.

Checked against official sources November 7, 2026
Market
About 250 Airbnb listings
Abingdon 126, Damascus 120 (AirROI).Source
Sales tax
5.3%
Lodging tax
7%
The county, Abingdon, and Damascus each list a 7% rate.Source
Local rules
Abingdon and Damascus
Abingdon requires a yearly HomeStay registration in the host’s own home. Damascus allows new rentals by right only in its commercial zones.

What to do

  1. Then your town or area

    Towns set their own zoning, and some levy their own lodging tax. Pick your area.

Towns

Full guide

Abingdon

Abingdon allows short-term rentals only as “HomeStays” in the host’s own primary residence, registered with the town each year ($25). Rentals are capped at 90 days a year, and no more than 30 of them can be without the host present. Stays pay 5.3% sales tax plus the town’s 7% lodging tax.

Full guide

Damascus

Damascus voted in September 2024 to allow new short-term rentals only in its commercial and industrial zones; rentals already operating were grandfathered. A July 2026 amendment would let new rentals into residential zones with a conditional use permit and a local contact within 50 miles. Stays pay 5.3% sales tax plus a 7% lodging tax.

Full guide

Unincorporated Washington County

Outside the towns, Washington County collects a 7% lodging tax through the Commissioner of Revenue. The county proposed a free short-term rental registry in 2022, with penalties for not registering; we couldn’t confirm it was adopted. Stays also pay 5.3% sales tax.

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 Spot something out of date?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.