Indianapolis vs Minneapolis

Indiana Legal with Permit | Minnesota Legal with Permit

Disclaimer: General information only — not legal advice. Verify with your local government.

Indianapolis, Indiana
Status Legal with Permit
Permit Fee $150 one-time registration fee per property
Tax Rate 7% Indiana sales tax + 10% Marion County innkeeper's tax (17% combined)
Day Limit No limit
Renewal Annual
Platform Tax Yes
Max Fine Up to $500 per violation; permit revocation after three violations
Minneapolis, Minnesota
Status Legal with Permit
Permit Fee $64 short-term rental registration fee
Tax Rate 6.875% state sales tax + up to 3% Minneapolis entertainment tax (~10% combined)
Day Limit No limit
Renewal Annual
Platform Tax Yes
Max Fine Up to $2,000 per violation; license revocation for repeated offenses

Both cities have comparable STR regulatory environments.

Indianapolis Overview

Indiana state law prevents municipalities from banning STRs but allows permitting. Hosts must collect and remit gross retail tax and Marion County innkeeper's tax.

Full Indianapolis guide →

Minneapolis Overview

Owners limited to one STR property plus their homesteaded residence; buildings with 20+ units capped at 10% STR units. $300,000 liability insurance and neighbor notification required.

Full Minneapolis guide →

Frequently Asked Questions

Is it easier to Airbnb in Indianapolis or Minneapolis?
Indianapolis is classified as "Legal with Permit" while Minneapolis is "Legal with Permit." Indianapolis's permit fee is $150 one-time registration fee per property compared to $64 short-term rental registration fee in Minneapolis.
Which city has higher STR taxes — Indianapolis or Minneapolis?
Indianapolis charges 7% Indiana sales tax + 10% Marion County innkeeper's tax (17% combined), while Minneapolis charges 6.875% state sales tax + up to 3% Minneapolis entertainment tax (~10% combined). Compare the full breakdown in the table above.
Which city has stricter fines for illegal short-term rentals?
Indianapolis: Up to $500 per violation; permit revocation after three violations. Minneapolis: Up to $2,000 per violation; license revocation for repeated offenses.