Short-Term Rental Rules in Hawaii: 2024 Guide

Short-term rentals are legal in Hawaii but regulated county by county. There is no single statewide STR license. Every operator must hold a county permit AND register with the Hawaii Department of Taxation for GET and TAT, regardless of which island they operate on.

Quick Answer: Are Short-Term Rentals Legal in Hawaii?

Yes, with significant conditions. State law delegates zoning and land use authority to each of the four counties (Honolulu, Maui, Kauai, Hawaii County), so rules differ by island. Most counties define a short-term rental as a rental for less than 30 consecutive days.

Two separate and mandatory compliance tracks exist for every operator:

1. County permit: Zoning-based requirements vary by island, zone, and whether the owner lives on the property.
2. State tax registration: General Excise Tax (GET) and Transient Accommodations Tax (TAT) apply statewide to every operator.

The distinction between an owner-occupied (hosted) rental and a non-owner-occupied property is critical. Most counties have more permissive rules for hosted rentals. Operating without a county permit can result in fines. For grandfathered units, it could lead to a forced phase-out through amortization.

County-by-County Permit Requirements and Zoning Rules

Honolulu (Oahu)

Honolulu's Land Use Ordinance creates two permit categories:

Bed and Breakfast Home (B&B): Requires owner-occupancy, meaning the owner must live on the property as their primary residence. B&Bs are allowed in a broader range of residential zones but are subject to a permit cap. Consult the Honolulu Department of Planning and Permitting (DPP) for current waitlist status.

Transient Vacation Unit (TVU): Does not require owner-occupancy but is largely restricted to resort-zoned areas. New TVU permits in residential zones are effectively unavailable due to permit caps. Existing TVU holders in residential zones operate under nonconforming use certificates, which carry amortization risk if new legislation is passed.

Application requirements for both categories include proof of ownership, general liability insurance, off-street parking documentation, and neighbor notification. Inspections are required before permit issuance.

Maui County

Maui County regulates Short-Term Rental Homes (STRHs). The county differentiates between owner-occupied STRHs and non-owner-occupied investment properties.

Recent ordinances have tightened STRH eligibility in residential zones, and new permits in these districts have been subject to a moratorium or cap. Following the August 2023 Lahaina wildfires, Maui County issued emergency proclamations affecting STR operations, including measures to convert some STRs to long-term housing. Consult the Maui County Planning Department for the current scope of any moratorium or active emergency orders.

Application requirements include proof of ownership, insurance documentation, a parking plan, and neighbor notification.

Kauai County

Kauai County regulates Transient Vacation Rentals (TVRs). The primary regulatory concept is the Visitor Destination Area (VDA). Properties within a VDA have a clearer path to a TVR permit. Outside a VDA, permit availability is extremely limited, and owner-occupancy is generally required for approval.

Consult the Kauai Planning Department for current VDA boundary maps and parcel-level eligibility records.

Hawaii County (Big Island)

Hawaii County's zoning code governs vacation rentals. A vacation rental permit is required. Allowed zoning districts and owner-occupancy requirements vary. Consult the Hawaii County Planning Department for current allowed zones and any owner-occupancy conditions for a specific parcel.

Common Application Requirements Across Counties

Most county applications require:

• Proof of ownership (recorded deed)
• General liability insurance certificate (confirm minimums with the county planning department)
• Off-street parking documentation meeting county standards
• Neighbor notification per county ordinance
• Property inspection before permit issuance
• Posted permit number and emergency contact information on the property

Nonconforming Use and Amortization Risk

Operators with nonconforming use certificates should note that HB 76 (2021 and 2022 Regular Sessions) and SB 187 (2022 Regular Session) proposed amortization frameworks to phase out nonconforming STRs. These measures were deferred or carried over without enactment. Holders of nonconforming use certificates should track legislative activity each session.

State Tax Registration: GET and TAT Requirements

Every Hawaii STR operator must register for and pay state taxes, regardless of county permit status.

General Excise Tax (GET)

GET applies to gross rental receipts. Consult the Hawaii Department of Taxation for current GET rates, including any applicable county surcharges. Register through the Hawaii Tax Online portal at tax.hawaii.gov.

Transient Accommodations Tax (TAT)

TAT is imposed on rentals for periods of less than 180 consecutive days. The state TAT rate is subject to legislative adjustment. Consult the Hawaii Department of Taxation for the current rate. Register through Hawaii Tax Online.

County TAT Surcharges

State law authorizes each county to levy its own TAT surcharge. All four counties have enacted these surcharges.

The Hawaii Department of Taxation publishes current rates at tax.hawaii.gov.

Platform Collection: What Airbnb and Vrbo Handle

Major booking platforms may have agreements with the Hawaii Department of Taxation to collect and remit GET and state TAT on behalf of hosts. Whether these platforms also collect and remit county TAT surcharges depends on their specific agreements. Consult Hawaii Department of Taxation guidance and confirm directly with your platform which taxes it remits and which remain your direct obligation.

Even if a platform remits taxes on your behalf, you are still required to hold your own GET license and TAT registration.

HB 1374 (2023) and Platform Reporting

HB 1374 (2023 Regular Session) proposed requiring booking platforms to verify county permit status and share data with counties. The bill's last recorded action was a recommendation for passage on Second Reading and referral to another committee (OpenStates HI, HB 1374, 2023 Regular Session). The source material does not confirm if it was enacted. Consult the Hawaii State Legislature website (capitol.hawaii.gov) for its final disposition.

Penalties for Non-Registration

Operating without GET or TAT registration can result in liability for back taxes, penalties, and interest. The Department of Taxation can assess these liabilities for multiple prior years.

What Changed Recently: 2022 to 2024 Legislative and Regulatory Updates

County TAT Surcharges

The authority for counties to levy their own TAT surcharge is a significant recent change. All four counties now collect this surcharge in addition to the state TAT, adding a compliance layer for operators. If you established your tax registrations before 2022, verify that your filings account for the county surcharge.

Maui Post-Wildfire Emergency Orders (August 2023)

The Lahaina wildfires prompted Maui County emergency proclamations that affected STRs, particularly in West Maui. Some units were subject to temporary conversion requirements to house displaced residents. Operators with properties in Maui must contact the Maui County Planning Department to confirm their permit status and any active restrictions.

HB 1374 (2023): Platform Permit Verification

HB 1374 advanced partway through the 2023 Regular Session, but its final status is unconfirmed by the provided source. If enacted, it would require platforms like Airbnb and Vrbo to verify county permit numbers and share operator data with counties.

HB 76 / SB 187 Amortization Bills

HB 76 (2021 and 2022 Regular Sessions) and SB 187 (2022 Regular Session) proposed phasing out nonconforming STRs. HB 76 was deferred in 2021 and carried over in 2022. SB 187 was carried over in 2022. Neither was enacted, but nonconforming-use permit holders should continue to monitor legislative sessions for similar proposals.

SB 2339 (2022): Zoning and STR Dwelling Units

SB 2339 (2022 Regular Session) addressed zoning and dwelling unit classifications for STRs. It was referred to committee and did not advance (OpenStates HI, SB 2339, 2022 Regular Session).

Honolulu DPP Processing Updates

Honolulu's DPP may have updated its permit processing procedures. Consult dpp.honolulu.gov for current timelines and application checklists.

Permit Fees, Processing Times, and Key Limits by County

Fees and timelines are subject to change. For current amounts and wait times, consult each county planning department directly.

Most counties require general liability insurance. Confirm current minimum coverage amounts with each county planning department when applying.

HOA, Condo, and Lease Restrictions That Override County Permits

A county permit does not override private property restrictions.

Condominium and HOA Rules

State laws give condominium and homeowner associations broad authority to restrict or prohibit STRs through their governing documents. An association can enforce these rules even if you have a valid county permit. Before applying for a permit, review your association's CC&Rs, bylaws, and house rules for language about transient occupancy, minimum rental periods, or commercial use. If the documents are unclear, get written confirmation from the board.

Leasehold Properties

Much of Hawaii's real estate is leasehold. The ground lease terms control permitted uses. Many ground leases prohibit transient or commercial rentals. Review the ground lease with a Hawaii real estate attorney before proceeding with an STR.

Hawaiian Home Lands

Properties on Hawaiian Home Lands are subject to strict restrictions under the Hawaiian Homes Commission Act and Department of Hawaiian Home Lands (DHHL) regulations. Subletting and transient rentals are heavily restricted. HB 1162 (2022 Regular Session), which addressed fee simple conversion for HHL properties, was carried over without enactment (OpenStates HI, HB 1162, 2022 Regular Session). DHHL's administrative rules remain in force. Contact DHHL directly before considering any STR use on an HHL parcel.

Practical Step

Get written confirmation from your HOA or condo board, and a legal review of your ground lease if applicable, before spending money on county permit applications or property setup.

Next Steps: How to Get Compliant and Who to Contact

Follow these steps in order.

Step 1: Confirm zoning. Contact your county planning department with your tax map key (TMK) number. Ask if your parcel's zoning allows STRs, which permit category applies, and if any caps or moratoriums are in effect.

Step 2: Check private restrictions. Review CC&Rs, bylaws, and any ground lease. Get written board confirmation if rules are unclear.

Step 3: Apply for county permit. Use the checklist from your county planning department to gather all required documents before submitting.

Step 4: Register for GET. Register for a GET license through Hawaii Tax Online (tax.hawaii.gov) before collecting any rental income.

Step 5: Register for TAT. Register for a TAT license through Hawaii Tax Online. Confirm with your booking platform which taxes it remits on your behalf.

Step 6: Confirm county TAT surcharge obligations. Verify with the Hawaii Department of Taxation whether you or your platform must remit the county surcharge.

Step 7: Post required disclosures. Display your permit number, emergency contact information, and other county-required notices at the property and in your online listing.

Agency Contact Table