Short-Term Rental Laws in Dallas, TX (2026)
Short-term rentals currently operate legally throughout Dallas — including single-family neighborhoods — because a December 6, 2023 temporary injunction, upheld three times by the Fifth Court of Appeals in 2025 and now pending before the Texas Supreme Court, blocks the city's June 2023 ordinances that would ban STRs from residential zoning districts and require an annual registration (fee $248 under the current codified code, as amended September 2023; $404 as originally adopted). The only citywide STR-specific requirement actively enforced is tax registration: every STR must file a Hotel Occupancy Tax registration with the City Controller's Office (no fee stated) and remit the 9% city hotel occupancy tax monthly, because Airbnb and Vrbo do not collect the city tax (they do collect the 6% state tax). Always confirm current requirements with the city before operating.
Dallas STR rules at a glance
| Legal status | Allowed with permit |
|---|---|
| Permit required | Yes |
| Permit name | City of Dallas Hotel Occupancy Tax (HOT) registration (City Controller's Office; filed via dallas.munirevs.com) |
| Renewal | No renewal required |
| Owner occupancy required | No |
| Primary residence only | No |
| Total occupancy taxes | ~15% of gross revenue |
| Enforcement | A temporary injunction issued December 6, 2023 by a Dallas County district court prohibits enforcement of both 2023 STR ordinances (the residential zoning ban and the Chapter 42B registration ordinance). The city states it continues enforcing existing ordinances on minimum property standards, disturbing noises, and private nuisances against STRs. The Fifth Court of Appeals upheld the injunction in February 2025, again on July 18, 2025, and dismissed the city's motion for reconsideration on August 19, 2025 (City of Dallas v. Dallas Short-Term Rental Alliance). Dallas petitioned the Texas Supreme Court on October 16, 2025 to lift the injunction ahead of the 2026 FIFA World Cup; as of early July 2026 no ruling had issued and the injunction remains in place. City HOT delinquency enforcement (penalties/interest) was tightened effective February 1, 2026. |
| Current rules effective | 2023-06-14 |
What will guests pay in taxes on a Dallas stay?
Itemized occupancy taxes for Dallas, TX — enter your nightly rate to see the real cost breakdown.
Dallas occupancy tax calculator
| Gross rent | $450.00 |
| Texas state hotel occupancy tax (6%)· collection varies | $27.00 |
| City of Dallas hotel occupancy tax (9%)· host remits | $40.50 |
| Total tax (15%) | $67.50 |
| Guest pays | $517.50 |
Estimate only. Platform collection varies by listing site and agreement; verify rates with the taxing authorities.
Permits & licensing
Dallas requires City of Dallas Hotel Occupancy Tax (HOT) registration (City Controller's Office; filed via dallas.munirevs.com) to operate a short-term rental.
No fee is stated for the currently required HOT registration. Separately, the enjoined Chapter 42B ordinance requires an annual STR registration: as adopted June 14, 2023 (Ord. 32473) the fee was $404.00 with a $234.00 reinspection fee, but the FY 2023-24 fee ordinance (Ord. 32556, adopted September 20, 2023) amended Sec. 42B-5 to $248.00 per year (initial inspection included) with a $144.00 reinspection fee — the amounts in the current codified City Code. The December 2023 injunction blocks enforcement, so the 42B registration is not being administered and the fee has never been charged. Industry blogs variously cite $150 or $404; the codified figure is $248.
Zoning & location rules
Under the enjoined June 2023 zoning ordinance (Ord. 32482), 'short-term rental lodging' would be permitted by right only in multifamily (MF), office (MO/GO), central area (CA), mixed use (MU), multiple commercial (MC), and urban corridor (UC) districts, and prohibited in all residential zoning districts (including single-family). The ordinance also caps STRs at 3% of units in multifamily-zoned buildings over 20 units, 20% in nonresidential districts, and zero in buildings with 20 or fewer units. Because the December 6, 2023 injunction blocks enforcement, STRs currently operate in all zones, including single-family neighborhoods.
Taxes
| Tax | Rate | Who collects |
|---|---|---|
| Texas state hotel occupancy tax6% of the cost of a room, applies to houses/condos/apartments rented under 30 days. Airbnb (since May 1, 2017) and Vrbo collect and remit the state HOT for hosts; hosts taking direct bookings must register with the Texas Comptroller and remit it themselves. | 6% | varies |
| City of Dallas hotel occupancy tax9% of net room receipts (City Code Ch. 44, Art. V Hotel Occupancy Tax + Art. VII Additional Hotel Occupancy Tax). The city has NO collection agreement with any platform (Airbnb, Vrbo, etc.); the owner/operator/manager must register the property with the City Controller's Office and remit monthly by the 15th of the following month. Effective Feb 1, 2026: 15% penalty if paid 3+ months late, plus 10% annual interest from the day after the due date; 1% discount if postmarked by the due date. | 9% | host |
Enforcement & penalties
A temporary injunction issued December 6, 2023 by a Dallas County district court prohibits enforcement of both 2023 STR ordinances (the residential zoning ban and the Chapter 42B registration ordinance). The city states it continues enforcing existing ordinances on minimum property standards, disturbing noises, and private nuisances against STRs. The Fifth Court of Appeals upheld the injunction in February 2025, again on July 18, 2025, and dismissed the city's motion for reconsideration on August 19, 2025 (City of Dallas v. Dallas Short-Term Rental Alliance). Dallas petitioned the Texas Supreme Court on October 16, 2025 to lift the injunction ahead of the 2026 FIFA World Cup; as of early July 2026 no ruling had issued and the injunction remains in place. City HOT delinquency enforcement (penalties/interest) was tightened effective February 1, 2026.
Currently enforceable: delinquent city HOT incurs, effective Feb 1, 2026, a 15% penalty if unpaid 3+ months after the due date plus 10% annual interest, and the city warns of 'tax liabilities, fines, penalties, and interest' for non-compliance. If the injunction is lifted: Chapter 42B violations are punishable by fines up to $500, with each day a separate offense; violations of the zoning (Ch. 51/51A) ordinance are punishable by fines up to $2,000.
⚠️ HOA/condo rules may prohibit STRs regardless of city law.
Getting legal in Dallas: the playbook
Generated from this market's verified rules — each step traces to the sources at the bottom of this page.
- 1
Verify your zoning
Location rules apply: Under the enjoined June 2023 zoning ordinance (Ord. 32482), 'short-term rental lodging' would be permitted by right only in multifamily (MF), office (MO/GO), central area (CA), mixed use (MU), multiple commercial (MC), and urban corridor (UC) districts, and prohibited in all residential zoning districts (including single-family). The ordinance also caps STRs at 3% of units in multifamily-zoned buildings over 20 units, 20% in nonresidential districts, and zero in buildings with 20 or fewer units. Because the December 6, 2023 injunction blocks enforcement, STRs currently operate in all zones, including single-family neighborhoods. Confirm your parcel's zoning with the city before applying.
- 2
Check the covenant layer
HOA/condo rules may prohibit STRs regardless of city law.
- 3
Apply for the City of Dallas Hotel Occupancy Tax (HOT) registration (City Controller's Office; filed via dallas.munirevs.com)
No fee is stated for the currently required HOT registration. Separately, the enjoined Chapter 42B ordinance requires an annual STR registration: as adopted June 14, 2023 (Ord. 32473) the fee was $404.00 with a $234.00 reinspection fee, but the FY 2023-24 fee ordinance (Ord. 32556, adopted September 20, 2023) amended Sec. 42B-5 to $248.00 per year (initial inspection included) with a $144.00 reinspection fee — the amounts in the current codified City Code. The December 2023 injunction blocks enforcement, so the 42B registration is not being administered and the fee has never been charged. Industry blogs variously cite $150 or $404; the codified figure is $248. Apply through the city — the official application page is linked in the sources below.
- 4
Set up tax collection & remittance
Platforms don't collect everything here: Texas state hotel occupancy tax (6%), City of Dallas hotel occupancy tax (9%) are remitted by the host. Register with the taxing authority before your first booking and calendar the filing deadlines.
- 5
Know the cost of getting it wrong
Currently enforceable: delinquent city HOT incurs, effective Feb 1, 2026, a 15% penalty if unpaid 3+ months after the due date plus 10% annual interest, and the city warns of 'tax liabilities, fines, penalties, and interest' for non-compliance. If the injunction is lifted: Chapter 42B violations are punishable by fines up to $500, with each day a separate offense; violations of the zoning (Ch. 51/51A) ordinance are punishable by fines up to $2,000. A temporary injunction issued December 6, 2023 by a Dallas County district court prohibits enforcement of both 2023 STR ordinances (the residential zoning ban and the Chapter 42B registration ordinance). The city states it continues enforcing existing ordinances on minimum property standards, disturbing noises, and private nuisances against STRs. The Fifth Court of Appeals upheld the injunction in February 2025, again on July 18, 2025, and dismissed the city's motion for reconsideration on August 19, 2025 (City of Dallas v. Dallas Short-Term Rental Alliance). Dallas petitioned the Texas Supreme Court on October 16, 2025 to lift the injunction ahead of the 2026 FIFA World Cup; as of early July 2026 no ruling had issued and the injunction remains in place. City HOT delinquency enforcement (penalties/interest) was tightened effective February 1, 2026.
Recent rule changes in Dallas
February 1, 2026material
Stricter city HOT delinquency penalties take effect
Effective February 1, 2026, failure to pay monthly city hotel occupancy tax within three months of the due date triggers a 15% penalty, and 10% annual interest accrues from the day after the due date; penalties and interest cannot be waived.
Official source →October 16, 2025material
Dallas petitions Texas Supreme Court to lift STR injunction before FIFA World Cup
The city asked SCOTX to review the case and lift the injunction blocking its 2023 STR ordinances, arguing 'time is of the essence' ahead of the June–July 2026 FIFA World Cup matches in the region. As of early July 2026 the petition remained pending and the injunction in place.
Official source →August 19, 2025
Fifth Court of Appeals dismisses Dallas's motion for reconsideration
The appeals court rejected the city's third attempt in 2025 to undo the temporary injunction, leaving the STR ban and registration ordinance unenforceable while the case proceeds.
Official source →July 18, 2025material
Appeals court affirms injunction a second time (City of Dallas v. Dallas Short-Term Rental Alliance)
On rehearing, the Fifth Court of Appeals again affirmed most of the temporary injunction, finding STR operators likely to succeed on their Texas constitutional (due course of law / retroactivity) claims.
Official source →February 10, 2025material
Fifth Court of Appeals upholds temporary injunction
A three-judge panel ruled short-term rentals can keep operating in Dallas while the lawsuit proceeds, finding operators would face irreparable injury if the 2023 ordinances were enforced.
Official source →December 6, 2023critical
Temporary injunction blocks both 2023 STR ordinances
A Dallas County district court enjoined enforcement of the residential zoning ban and the Chapter 42B registration ordinance days before enforcement was to begin (six months after the June 14, 2023 passage), after the Dallas Short-Term Rental Alliance sued on state constitutional grounds.
Official source →September 20, 2023
FY 2023-24 fee ordinance resets Chapter 42B STR fees to $248/$144
Ordinance 32556 (annual fee and rate adjustments for the FY 2023-24 budget) amended Sec. 42B-5 so the annual STR registration fee is $248.00 (initial inspection included) and the reinspection fee is $144.00, superseding the $404/$234 amounts adopted in June 2023. The fee has never been charged because the December 2023 injunction blocks Chapter 42B.
Official source →June 14, 2023critical
City Council adopts STR zoning ban and Chapter 42B registration ordinance
Ordinance 32482 created a 'short-term rental lodging' use permitted by right only in multifamily, office, central area, mixed use, multiple commercial, and urban corridor districts (prohibited in single-family and other residential districts); Ordinance 32473 added Chapter 42B requiring annual $404 registration, inspections, 3-per-bedroom/12-person occupancy limits, and platform booking restrictions.
Official source →
Frequently asked questions
›Is Airbnb legal in Dallas?
Yes — Airbnb and other short-term rentals are legal in Dallas, TX, but you must obtain a City of Dallas Hotel Occupancy Tax (HOT) registration (City Controller's Office; filed via dallas.munirevs.com) before operating. Always confirm current requirements with the city before operating.
›Do I need a permit for a short-term rental in Dallas?
Yes. Dallas requires a City of Dallas Hotel Occupancy Tax (HOT) registration (City Controller's Office; filed via dallas.munirevs.com) to operate a short-term rental. Always confirm current requirements with the city before operating.
›Can I Airbnb a non-primary residence in Dallas?
Yes — Dallas does not limit short-term rentals to primary residences. Zoning and other restrictions may still apply. Always confirm current requirements with the city before operating.
›What taxes do short-term rental hosts pay in Dallas?
Hosts in Dallas are subject to: Texas state hotel occupancy tax (6%), City of Dallas hotel occupancy tax (9%) — roughly 15% total on gross rental revenue. Platforms like Airbnb collect some of these automatically; check each line's collection method on this page.
›What happens if I operate a short-term rental illegally in Dallas?
Currently enforceable: delinquent city HOT incurs, effective Feb 1, 2026, a 15% penalty if unpaid 3+ months after the due date plus 10% annual interest, and the city warns of 'tax liabilities, fines, penalties, and interest' for non-compliance. If the injunction is lifted: Chapter 42B violations are punishable by fines up to $500, with each day a separate offense; violations of the zoning (Ch. 51/51A) ordinance are punishable by fines up to $2,000. A temporary injunction issued December 6, 2023 by a Dallas County district court prohibits enforcement of both 2023 STR ordinances (the residential zoning ban and the Chapter 42B registration ordinance). The city states it continues enforcing existing ordinances on minimum property standards, disturbing noises, and private nuisances against STRs. The Fifth Court of Appeals upheld the injunction in February 2025, again on July 18, 2025, and dismissed the city's motion for reconsideration on August 19, 2025 (City of Dallas v. Dallas Short-Term Rental Alliance). Dallas petitioned the Texas Supreme Court on October 16, 2025 to lift the injunction ahead of the 2026 FIFA World Cup; as of early July 2026 no ruling had issued and the injunction remains in place. City HOT delinquency enforcement (penalties/interest) was tightened effective February 1, 2026.
Dallas's STR rules changed 5 times recently.
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Sources
- City of Dallas Code Compliance — Short-Term Rentals (official STR page, injunction notice)retrieved July 11, 2026
- City of Dallas Controller's Office — Hotel Occupancy Tax for Short-Term Rentalsretrieved July 11, 2026
- Ordinance No. 32473 (June 14, 2023) — adds Chapter 42B 'Short-Term Rentals' (registration ordinance)retrieved July 11, 2026
- Ordinance No. 32482 (June 14, 2023) — amends Dallas Development Code Chs. 51/51A, 'short-term rental lodging' use (zoning ordinance)retrieved July 11, 2026
- Texas Comptroller of Public Accounts — Hotel Occupancy Taxretrieved July 11, 2026
- Dallas City Code, Chapter 42B Short-Term Rentals (codified, American Legal Publishing)retrieved July 11, 2026
- Dallas City Code Sec. 42B-5 — Short-Term Rental Registration; Fees; Renewal (codified: $248 annual / $144 reinspection; Ord. Nos. 32473; 32556)retrieved July 12, 2026
- City of Dallas memo (Sept 15, 2023) — Fee and Rate Adjustments in the FY 2023-24 Budget (agenda item 23-2328; STR Application and Inspection $248, Reinspection $144)retrieved July 12, 2026
- KERA News — Dallas wants SCOTX to lift a block on its short-term rentals ban before 2026 FIFA World Cup (Oct 22, 2025)retrieved July 11, 2026
- StaySTRA — STR Enforcement in World Cup Cities (Dallas status as of June 1, 2026)retrieved July 11, 2026
This page is informational only and is not legal, tax, or financial advice. Rules change and enforcement varies — verify current requirements with Dallas and a qualified professional before operating.