Indianapolis vs Phoenix

Indiana Legal with Permit | Arizona 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
Phoenix, Arizona
Status Legal with Permit
Permit Fee $250/year (non-refundable)
Tax Rate ~12.57% combined transient lodging tax (state + county + city)
Day Limit No limit
Renewal Annual
Platform Tax Yes
Max Fine $500 first violation; $1,000 second; $3,500 third; 12-month suspension after 3 violations

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 →

Phoenix Overview

Arizona SB 1168 (2022) grants cities enhanced enforcement while SB 1350 (2016) preempts outright bans. Phoenix requires STR permit, $500K liability insurance, neighbor notification, and prohibits STR use of accessory dwelling units.

Full Phoenix guide →

Frequently Asked Questions

Is it easier to Airbnb in Indianapolis or Phoenix?
Indianapolis is classified as "Legal with Permit" while Phoenix is "Legal with Permit." Indianapolis's permit fee is $150 one-time registration fee per property compared to $250/year (non-refundable) in Phoenix.
Which city has higher STR taxes — Indianapolis or Phoenix?
Indianapolis charges 7% Indiana sales tax + 10% Marion County innkeeper's tax (17% combined), while Phoenix charges ~12.57% combined transient lodging tax (state + county + city). 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. Phoenix: $500 first violation; $1,000 second; $3,500 third; 12-month suspension after 3 violations.