The short version
- Each town runs its own program. Vail, Avon, Minturn, Eagle, Gypsum and Basalt license their own rentals.
- A Vail mailing address isn’t proof you’re in Vail. EagleVail, Edwards, Beaver Creek and Bachelor Gulch are unincorporated.
- Lodging in the Town of Vail is taxed at 10.8% in total. Vail is a home-rule town that collects its own 4.5%.
- Eagle County’s lodging tax rose from 2% to 4% on January 1, 2026, in unincorporated areas and Gypsum.
Who licenses your rental?
Inside town limits, the town licenses your rental. Outside them, the property is in unincorporated Eagle County, where metro district, HOA and fire district rules can also apply. Confirm the jurisdiction by address, or by the Colorado Department of Revenue location code, before you buy or list.
Town of Vail: the license
- A short-term rental license is required before you advertise.
- Vail has three license types: Individual Owner, Professional Property Manager, and On-Site 24/7 Front Desk.
- A fire and life-safety inspection may be required, and duplexes have their own requirement.
- Licenses run on a yearly cycle (the last cycle ended February 28, 2026), so watch for the renewal notice.
Vail lodging tax: 10.8%
| Tax | Rate | Paid to |
|---|---|---|
| Colorado state sales tax | 2.9% | State |
| Eagle County (incl. 0.5% mass transit) | 1.5% | State |
| Eagle Valley RTA | 0.5% | State |
| Town of Vail sales tax | 4.5% | Town of Vail |
| Vail Local Marketing District lodging tax | 1.4% | Town of Vail |
| Total | 10.8% |
Rates as published by the Town of Vail for 2026. In November 2025, Vail voters rejected a proposed 6% short-term rental excise tax.
Avon, Beaver Creek and the rest of the county
- Avon is also a self-collecting home-rule town, with its own sales tax, lodging tax and a short-term rental community housing tax on top of the state and county layers.
- Unincorporated Eagle County starts from 4.9% (state, county, transit and RTA), plus any metro district or fire district taxes for that location.
- The county lodging tax rose from 2% to 4% on January 1, 2026, after voters approved it in November 2025. It applies in unincorporated Eagle County and Gypsum, not inside Vail, Avon, Minturn, Eagle, Basalt or Red Cliff.
Who files the returns?
- Airbnb collects the state tax, state-collected local taxes and, under its agreements, the Town of Vail’s 4.5% and Avon’s town taxes on bookings made through it. Check each platform’s tax breakdown for every layer, including the Vail marketing district tax.
- Owners in Vail and Avon still need their town licenses and may need to file town returns even when a platform remits.
- On direct bookings, you collect and file everything yourself: town taxes with the town, and state, county and district taxes with the Colorado Department of Revenue.
What it means for your books
- Record the gross booking, not the payout. Book platform fees, cleaning and taxes separately.
- Map every tax layer to your address. Vail, Avon and unincorporated areas each need different rates in your books.
- Separate platform-remitted tax from tax you owe on direct bookings, and file zero returns where the town requires them.
- Budget license fees, HOA dues and metro district costs as yearly fixed costs.
- Plan for the seasons. Winter and summer carry the year; a Cash Map keeps spring and fall covered.
Kellcat keeps mountain rental books remotely from Littleton, property by property. See mountain short-term rental bookkeeping, start with the STR Financial Starter Kit, or book a free Discovery Call on Google Meet. Own a business in town too? Kellcat keeps monthly books for businesses of all kinds, remotely.
Why mountain towns? I’m a mountain lover. I ski, I mountain bike, and I’d rather be outdoors in the mountains than almost anywhere. Helping owners here keep clear books is my kind of work. — Brian
This guide is general information, not tax or legal advice. Rules, caps, fees and rates change often in mountain towns, so confirm current requirements with your town or county and your CPA.
Sources
- Town of Vail: Short-Term Rentals and Lodging Tax
- Town of Vail: Sales Tax
- Town of Vail: Ballot Issue 2A Factual Summary (2025)
- Colorado Sun: Vail voters reject plan to tax short-term rentals (Nov 2025)
- CBS Colorado: Eagle County lodging tax ballot issue 1A
- Colorado DOR: Jurisdiction Codes and Rates, July–Dec 2026
- Airbnb: Occupancy tax collection in Colorado
