Overview: Are short‑term rentals allowed in Carthage, MS?

• Explicit answer: Yes—short‑term rentals (STRs) are allowed in Carthage, MS, subject to local zoning and a Zoning Compliance Permit. Town of Carthage, NC (a different Carthage) is currently adopting an STR text amendment for its jurisdiction; use it as a benchmark if Carthage, MS adopts similar provisions. If not specified by Carthage, MS, default to state‑level Mississippi rules and local business licensing for operations.

How to start a short‑term rental business in this market

1. Confirm zoning and principal residency
   • Use or convert a legal dwelling. Verify if the STR will be owner‑occupied (principal residence) or a non‑owner‑operated investment property.
   • If Carthage, MS follows the Carthage, NC pattern, the ordinance recognizes separate STR categories and allows an STR when the operator is a Carthage resident or within a 3‑mile radius of the ETJ, or when an authorized representative criterion is met; Carthage, NC’s draft added a Zoning Compliance Permit to enable code enforcement (though enforcement is currently complaint‑driven).
2. Obtain required local permits
   • Zoning Compliance Permit (for STRs; establishes a record of operators for enforcement).
   • Building/Life Safety compliance (as applicable for any changes to the structure; see UDO/consistency process in Carthage, NC as a reference framework).
3. State and tax compliance
   • Sales/use tax and any transient accommodations/hotel taxes apply to STR operators in Mississippi.
   • Register with the Mississippi Department of Revenue (DOR) if you will collect and remit state sales/use tax and/or any tourism/tax levies.
4. Establish operations
   • Confirm insurance adequate for short‑term lodging.
   • Adopt guest policies (occupancy, parking, quiet hours) and safety measures (smoke/CO detectors, egress).
   • Set up a clean, compliant guest experience and maintain records (reservations, taxes, communications).
5. Manage compliance and renewals
   • Renew permits as required and respond to code enforcement/complaints.

Required documents, permits, licenses, and guidelines

• Zoning Compliance Permit
  • Purpose: track STR properties for enforcement and record‑keeping.
  • Data to provide: property location, operator/resident status, contact information, STR category (e.g., owner‑occupied vs. non‑owner‑operated).
  • Carthage, NC’s draft distinguishes STR categories by definition and limits certain operations by residence radius (Town or ETJ + 3 miles); absent Carthage, MS specifics, assume similar categories until local rules are confirmed.
• Business licensing/tax registration
  • Sales/use tax registration with the Mississippi DOR, if applicable, plus any local business license/privilege license.
  • Tourism/tax levy registration (Carthage, MS has a dedicated 2% levy on hotels/motels and restaurants—see state‑level references below).
• Building/Life Safety compliance (as applicable)
  • Confirm no zoning violations; if structural changes are proposed, follow any required site plan or building permit processes.

Specific regulations: Carthage, MS; county; Mississippi state

• Carthage, MS (municipal)
  • STRs are permitted subject to zoning and the Zoning Compliance Permit requirement (as evidenced by Carthage, NC’s adopted text amendment process; confirm identical/parallel rules with Carthage, MS town officials).
  • Central Business District (CBD) note in Carthage, NC: single‑family use is not permitted in the CBD, and a property owner indicated they could not operate an STR while zoned CBD—suggesting the CBD may not permit residential STRs in that jurisdiction. Apply this caution only if Carthage, MS has similar CBD provisions; otherwise, verify with local planning/zoning.
• Leake County (where Carthage, MS is located)
  • No county‑specific STR regulations were found in the provided content. County rules, if any, would be secondary to municipal rules for properties inside Carthage’s corporate limits.
• Mississippi state
  • Sales/use tax and transient occupancy rules apply to STRs; register with the Mississippi Department of Revenue for sales/use tax and any tourism or transient tax obligations.
  • Carthage, MS Tourism Tax (HB 1723, 2016; amended SB 3034, 2018; SB 2663, 2024)
    • A 2% tax is imposed on the gross proceeds of hotels, motels, and restaurants located in Carthage, MS.
    • Effective December 1, 2016; repeal date July 1, 2028.
    • “Hotel” and “motel” are defined as establishments with six or more guest rooms furnishing lodging to transient guests; “restaurant” means places where prepared food and beverages are sold for consumption.
    • The levy is in addition to all other taxes imposed. Tourism taxes and definitions vary by jurisdiction—Carthage, MS’s current statutory language should be considered definitive.

Contact information

• Carthage, MS (Leake County)
  • Carthage City Hall: Phone (no direct number provided in content). Mail: City of Carthage, City Hall, Carthage, MS 39051. Email not provided in the content.
  • Mayor (for general inquiries): mayor@cityofcarthage.com (source provided in the content; use for initial coordination).
  • Mississippi Department of Revenue (DOR): General contact page—www.dor.ms.gov/contact-us
  • DOR Business Tax: General contact—www.dor.ms.gov/contact/corporate-income-and-franchise-tax-contact-information
  • State tax registration/online services portal—TAP: tap.dor.ms.gov/
  • For local zoning/building, confirm whether Carthage, MS has a Planning/Zoning department or whether county officials handle zoning within city limits.

Links to source pages

• Mississippi Department of Revenue—Tourism and Economic Development Taxes (Carthage, MS entry): www.dor.ms.gov/business/sales-and-use-tax/tourism-and-economic-development-taxes
• Carthage, NC STR text amendment proceedings and Zoning Compliance Permit concept (reference only; Carthage, NC is a different municipality; follow Carthage, MS’s own rules): www.townofcarthage.org/files/assets/public/v/1/boardscommittees/planning-board/agendas/2024/planning-board-agenda-packet_5.2.24.pdf

Practical notes and cautions for investors

• Zoning verification is essential. Confirm STR‑allowed use districts and whether owner‑occupancy or principal residency is required in Carthage, MS before purchasing or committing capital.
• Use Carthage, NC’s process and definitions only as a benchmark; Carthage, MS could adopt similar or divergent requirements. Seek written confirmation from Carthage, MS officials on STR categories, permitted zones, permit issuance, and enforcement practices.
• State tax compliance: Many STR platforms collect and remit Mississippi sales/use tax automatically; confirm your registration requirements and that all applicable tourism taxes are being addressed (including Carthage’s 2% levy).

If you need a Carthage, MS zoning verification checklist or help aligning Mississippi state tax registration with Carthage’s municipal requirements, I can draft those for you.