Thinking about renting your Greenwood Village home to short-term guests? The rules here are clear but detailed, and missing a step can cost you in taxes or penalties. You want a simple path from idea to compliant hosting. In this guide, you’ll learn the key taxes, licenses, and property rules you must follow, plus a step-by-step checklist to get it right. Let’s dive in.
Greenwood Village STR rules at a glance
Greenwood Village treats short stays as lodging for tax and license purposes. You must collect and remit the City’s 3% lodging tax and the City’s 3% sales tax on taxable receipts. The City lists a 7.25% combined state and local sales tax rate on its site, which can appear on bookings depending on the transaction. You should hold the correct City tax licenses and file on the City’s schedule.
Licenses and taxes you must handle
City of Greenwood Village requirements
You must obtain the City’s Lodging Tax license and collect the 3% lodging tax on short-term stays. The City’s 3% sales tax generally applies to these transactions, and filings are made through the online portal. Review the City’s lodging and sales tax guidance and follow its filing schedule. See the City’s Lodging Tax page and Sales Tax page for current details: Greenwood Village Lodging Tax and Greenwood Village Sales Tax.
State of Colorado registration
Colorado requires retailers, including short-term rental operators, to register with the Department of Revenue and keep records. You must maintain booking and tax records for at least three years and file returns as required for state-administered taxes. Review the state’s rules in the Colorado Sales Tax Guide.
Marketplace platforms and tax collection
Many platforms say they collect some taxes at checkout, but coverage varies by jurisdiction and platform. Even if a platform lists Greenwood Village taxes on guest bills, you remain responsible for proper registration and any taxes not collected. Confirm what is collected and remitted in your host dashboard and with the City, and review the platform’s policy in Airbnb’s tax collection guidance.
Property rules, zoning, and safety
Your STR must meet Greenwood Village land-use, building, and fire codes, plus nuisance and noise rules. Before you list, confirm that your property’s zoning allows the lodging use you plan. If you are in an HOA or PUD, check private covenants, which can be stricter than City rules. For codes and contacts, start with Adopted Codes and Manuals and the City’s Business & Taxes and Community Development page.
Step-by-step compliance checklist
- Register for City tax licenses: apply for the Lodging Tax license and Sales/Use Tax license. File and pay through the City portal per your assigned frequency. Use the Lodging Tax page for links and instructions.
- Register with Colorado DOR: set up your state sales/use tax account and follow filing rules. Keep required records for at least three years per the Colorado Sales Tax Guide.
- Verify platform tax coverage: in your booking platform’s tax settings, confirm exactly which Greenwood Village and Colorado taxes it collects and remits. Compare against the City’s requirements and fill any gaps; see Airbnb’s tax collection policy.
- Confirm zoning and private rules: call Community Development to verify zoning allowances and check HOA or deed restrictions. Use the City’s Business & Taxes page for contact info.
- Meet building and fire codes: if upgrades are needed to comply, pull permits and arrange inspections. Reference the City’s Adopted Codes and Manuals.
- Set house rules and a local contact: publish quiet hours, parking, trash, and occupancy rules. Provide a 24/7 local contact who can respond quickly to concerns.
- Maintain insurance: confirm with your insurer that short-term rental use is covered and consider supplemental STR liability coverage if needed.
- Keep clean books: track bookings, receipts, taxes, and expenses. Retain records for at least three years per the Colorado Sales Tax Guide.
Prevent complaints and penalties
Noise and nuisance issues are enforced by the City’s Neighborhood Services and Police Department. Set clear expectations on noise, parking, and trash to protect your reputation and avoid escalation. Review the City’s process in the Resolution to a Noise Disturbance guide and Code Enforcement overview. Tax noncompliance can trigger assessments, penalties, and interest, so register, file on time, and reconcile what your platform collects versus what you owe.
ADUs and evolving rules
Colorado’s HB24-1152 sets new standards for accessory dwelling units and lists Greenwood Village as a subject jurisdiction. If you plan to use an ADU for short-term lodging, City implementation of the law may affect approvals, parking, or occupancy requirements. Review state guidance in the Colorado DLG ADU resource and confirm local implementation with Community Development before you invest.
Buying a property for STR in Greenwood Village?
Do your homework early. Model your revenue with the City’s 3% lodging tax, the 3% City sales tax, and the posted combined 7.25% rate where applicable so you understand the guest’s total tax load. Confirm zoning, HOA rules, and any ADU considerations if you plan to rent a secondary unit. Finally, verify platform tax collection so you can set accurate pricing and avoid surprises at filing time.
Ready to align your investment with Greenwood Village rules and neighborhood expectations? If you want help evaluating properties, running STR-friendly prep, or coordinating local resources, reach out to Debbie Jacobs for tailored guidance in the DTC and south Denver corridor.
FAQs
Do I need a special Greenwood Village short-term rental permit?
- The City emphasizes lodging and sales tax licensing rather than a separate, named STR permit; obtain the Lodging Tax license and any required business/sales licenses and confirm zoning with Community Development. See the City’s Lodging Tax page.
What taxes will my Greenwood Village guests see on a booking?
- Expect the City’s 3% lodging tax plus the 3% City sales tax and other applicable state and local rates; the City lists a combined 7.25% sales rate that can apply depending on the transaction. See Lodging Tax and Sales Tax.
Will Airbnb or VRBO handle all Greenwood Village taxes for me?
- Platforms may collect and remit some taxes, but coverage varies; you should stay registered with taxing authorities and confirm exactly what is collected in your host dashboard and with the City. Review Airbnb’s tax collection guidance.
What local rules apply if neighbors complain about my STR?
- Greenwood Village investigates noise, parking, and nuisance issues through Code Enforcement and Police; repeated violations can lead to fines and other actions. See the City’s Noise Disturbance guide and Code Enforcement overview.
Can I rent an accessory dwelling unit (ADU) in Greenwood Village as an STR?
- The state’s ADU law (HB24-1152) applies to Greenwood Village, and local implementation can affect how ADUs are approved and used; confirm current rules with Community Development after reviewing the Colorado DLG ADU resource.
