Indianapolis vs Salt Lake City

Indiana Legal with Permit | Utah Effectively Banned

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
Salt Lake City, Utah
Status Effectively Banned
Permit Fee Contact city for current details
Tax Rate ~12.17% combined (state + local sales + county TRT + municipal TRT)
Day Limit No limit
Renewal Annual
Platform Tax Yes
Max Fine Contact city for current details; violations may incur daily fines

Indianapolis has more favorable STR regulations overall.

Permits & Licensing

Indianapolis charges $150 one-time registration fee per property for STR licensing, while Salt Lake City charges Contact city for current details. Indianapolis renewal is annual, and Salt Lake City renewal is annual. Overall, Indianapolis has a more permissive regulatory environment (Legal with Permit) compared to Salt Lake City (Effectively Banned).

Tax Obligations

In Indianapolis, hosts pay 7% Indiana sales tax + 10% Marion County innkeeper's tax (17% combined). In Salt Lake City, hosts pay ~12.17% combined (state + local sales + county TRT + municipal TRT). Both cities benefit from automatic platform tax collection through Airbnb and similar services, simplifying compliance for hosts.

Day Limits & Restrictions

Neither city imposes an annual day limit on short-term rentals, giving hosts year-round flexibility.

Fines & Enforcement

Hosts operating without a permit in Indianapolis face penalties including Up to $500 per violation; permit revocation after three violations. In Salt Lake City, violations can result in Contact city for current details; violations may incur daily fines. Both cities actively enforce their STR regulations, so securing proper licensing before listing is essential in either market.

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.

Contact: Dept. of Business and Neighborhood Services — (317) 327-8700

Full Indianapolis guide →

Salt Lake City Overview

Traditional STRs (Airbnb-style) are prohibited in all residential zones. Short-term lodging is only permitted in downtown and mixed-use zoning districts, where operators must meet hotel/motel-class licensing and building standards.

Contact: Salt Lake City Planning Division — (801) 535-7700

Full Salt Lake City guide →

Frequently Asked Questions

Is it easier to Airbnb in Indianapolis or Salt Lake City?
Indianapolis is classified as "Legal with Permit" while Salt Lake City is "Effectively Banned." Indianapolis's permit fee is $150 one-time registration fee per property compared to Contact city for current details in Salt Lake City. Overall, Indianapolis has a more host-friendly regulatory environment.
Which city has higher STR taxes — Indianapolis or Salt Lake City?
Indianapolis charges 7% Indiana sales tax + 10% Marion County innkeeper's tax (17% combined), while Salt Lake City charges ~12.17% combined (state + local sales + county TRT + municipal TRT).
Which city has stricter fines for illegal short-term rentals?
Indianapolis: Up to $500 per violation; permit revocation after three violations. Salt Lake City: Contact city for current details; violations may incur daily fines. Both cities actively enforce STR regulations, so proper licensing is essential.
Do Indianapolis and Salt Lake City have day limits for Airbnb?
Indianapolis has no annual day limit. Salt Lake City has no annual day limit.
Which city is better for first-time Airbnb hosts — Indianapolis or Salt Lake City?
For new hosts, consider the total cost of entry: Indianapolis charges $150 one-time registration fee per property for permits with 7% Indiana sales tax + 10% Marion County innkeeper's tax (17% combined) in taxes. Salt Lake City charges Contact city for current details with ~12.17% combined (state + local sales + county TRT + municipal TRT). Automatic tax collection in Indianapolis and Salt Lake City makes compliance easier for beginners.