Short-term rental & Airbnb taxes in Madison, WI (2026)
Short-term rental guests in Madison pay roughly 15.5% in combined occupancy and lodging taxes. Here's the itemized breakdown, who collects each one, and what you may need to remit yourself.
Itemized tax rates
| Tax | Rate | Who collects |
|---|---|---|
| Wisconsin state sales taxApplies to lodging furnished for less than one month. Marketplace providers (Airbnb/Vrbo) must collect and remit on sales they facilitate; hosts taking direct bookings must hold a seller's permit and remit themselves (Wisconsin DOR Publication 219). | 5% | varies |
| Dane County sales and use taxThe 0.5% county sales and use tax applies to taxable lodging in Dane County and is reported on the Wisconsin sales and use tax return; collected by the marketplace for platform bookings, by the host for direct bookings. | 0.5% | varies |
| City of Madison room tax (Transient Room Tax)Madison imposes a 10% room tax under Wis. Stat. 66.0615 and MGO 4.21 (rate above the 8% cap is allowed because of convention-center debt). Marketplace providers must collect and remit municipal room tax to the city (Form RT-200); hosts with direct bookings must obtain a Transient Room Tax Permit and file/pay quarterly (due Jan 31, Apr 30, Jul 31, Oct 31). Stays of 30+ consecutive days are exempt. | 10% | varies |
What will guests pay on a Madison stay?
Enter a nightly rate to see the itemized occupancy-tax cost.
Madison occupancy tax calculator
| Gross rent | $450.00 |
| Wisconsin state sales tax (5%)· collection varies | $22.50 |
| Dane County sales and use tax (0.5%)· collection varies | $2.25 |
| City of Madison room tax (Transient Room Tax) (10%)· collection varies | $45.00 |
| Total tax (15.5%) | $69.75 |
| Guest pays | $519.75 |
Estimate only. Platform collection varies by listing site and agreement; verify rates with the taxing authorities.
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Verified July 21, 2026. Informational only — not legal, tax, or financial advice. Tax rates and collection rules change; confirm current requirements with Madison and your booking platform.