When deciding whether to become an Airbnb host, it's important for you to understand the laws in your city. As a platform and marketplace we do not provide legal advice, but we want to provide some useful links that may help you better understand laws and regulations in Chicago, IL. This list is not exhaustive, but it should give you a good start in understanding your local laws. If you have questions, contact the Business Affairs and Consumer Protection office or other city agencies directly, or consult a local lawyer or tax professional.

• Zoning Ordinance. The Chicago Zoning Ordinance regulates zoning requirements and land use in the city. You should consult the Zoning Ordinance to see if your listing implicates any zoning requirements or use definitions. Important terms include "bed and breakfast," "vacation rental," "accessory building,” “permitted use,” and “special use.”
• Vacation Rental Licensing. The City of Chicago requires a license for a “vacation rental.” According to the City’s information page, “vacation rental” is defined as a dwelling unit with up to six sleeping rooms that are available for rent, or for hire, for transient occupancy by guests, and must NOT be owner-occupied. Additional details, including fees and process information, are available here and here. Section 4-6-300 of the City Code contains additional information regarding the licensing process and the duties of a vacation rental licensee.
• Bed and Breakfast Licensing. Chicago regulations require registration and licensing for bed and breakfast activities, as described in Section 4-6-290 of the City Code.
• Taxes. Chicago imposes a 4.5% “Hotel Accommodations Tax” for the listing price (including cleaning fees) paid for vacation rentals, bed and breakfasts and other hotel accommodations. Airbnb collects and remits the Chicago Hotel Accommodations Tax in Chicago. More information about that process is available here. The State of Illinois also imposes certain hotel taxes that may apply to your listing as described in this Illinois Department of Revenue publication.
• Other Rules. It's also important to understand and abide by other contracts or rules that bind you, such as leases, condo board or co-op rules, HOA rules, or rules established by tenant organizations. Please read your lease agreement and check with your landlord if applicable.

We're committed to working with local officials to help them understand how Airbnb benefits our community. Where needed, we will continue to advocate for changes that will allow regular people to rent out their own homes.

Last updated: July 13, 2015