Overview: Are Short-Term Rentals Allowed in Pottsville, PA?

Yes—short-term rentals (STRs) are allowed in Pottsville, PA, subject to city, county, and state requirements. The city’s “Rental Property Guidelines” treat these properties as rental businesses and require licensing, regular inspections, minimum insurance, and other operational standards. Pennsylvania’s statewide “Lodging and Housing Code” classifies transient lodging operations—including STRs that rent for fewer than 30 days—as “lodging establishments,” bringing them under common safety, recordkeeping, and tax rules. Short-term rentals are commonly operated from residential homes or apartments in the city, and are overseen by the Pottsville City Council and city authorities, while state hotel occupancy taxes are administered by the Pennsylvania Department of Revenue.

Key points at a glance:

• Legal and permitted, with city-level compliance obligations and ongoing oversight.
• Owners must obtain a city business license and complete rental inspections.
• Property insurance is mandatory; the city requires general liability and casualty coverage.
• State hotel occupancy tax applies; an STR renting for fewer than 30 days is subject to tax obligations.
• Zoning compliance is required; STRs must be consistent with local zoning designations.

How to Start a Short-Term Rental Business in Pottsville

1. Confirm zoning and eligibility

• Verify that your property is in a zoning district that permits STRs or home-sharing uses. If unsure, consult the Pottsville Code Enforcement Office.

2. Obtain a city business license

• All persons operating a business in Pottsville must acquire a license.
• Contact the Tax Administrator or apply online.

3. Secure insurance

• Maintain $50,000 general liability insurance and casualty insurance in an amount sufficient to restore or remove the property.
• Fax a copy of the certificate(s) to the city before renting the building.

4. Prepare for inspections

• Rental properties are inspected regularly. Post the Certificate of Compliance in the building at all times.

5. Establish tenant/guest registration and recordkeeping

• Register all tenants or guests over age 18 with the Tax Office and report tenancy changes within 10 days.
• Maintain guest records consistent with state requirements under the lodging and housing code (see state section below for required contents).

6. Set up trash removal

• Properties with fewer than three units are enrolled in the city’s Single Hauling program; activate your account with City Hall.
• For three or more units, you may contract with a licensed trash contractor.

7. Comply with Fair Housing and anti-discrimination laws

• Follow all Fair Housing Requirements; no discrimination based on protected classes.

8. Tax setup and compliance

• Register for a Sales, Use, and Hotel Occupancy Tax license if you will collect state hotel occupancy tax directly.
• Confirm whether your booking platforms remit the tax on your behalf; if not, you must collect and remit.

Required Documents, Permits, Licenses, and Guidelines

• City business license (from the Tax Administrator).
• Certificate of Compliance (post in the building at all times).
• Insurance certificates:
  • $50,000 general liability insurance.
  • Casualty insurance sufficient to restore or remove the property.
• Tenant/guest registration:
  • All tenants or guests over age 18 must be registered with the Tax Office.
  • Changes in tenancy reported within 10 days.
• Inspection fee schedule:
  • $35 for the first three units.
  • $15 for each unit beyond three.
• Zoning verification and code compliance materials (International Property Maintenance Code; applicable city ordinances).

City-Level Regulations Specific to Pottsville

• Licensing and registration
  • City business license required for all business operations.
  • Tenant/guest registration and timely reporting of changes.
• Insurance
  • $50,000 general liability coverage; casualty coverage sufficient for restoration/removal.
• Inspections and compliance
  • Regular inspections required.
  • Certificate of Compliance must be posted.
• Trash removal
  • Single Hauling program for fewer than three units (activate via City Hall).
  • Licensed contractors allowed for three or more units.
• Fair Housing
  • Full compliance with Fair Housing Requirements; no discriminatory practices.
• Blight control and nuisance response
  • City enforces quality of life and nuisance property rules; repeat violations may trigger fines and enforcement actions.

County-Level Regulations (Schuylkill County) and State-Level Rules (Pennsylvania)

County room tax

• Pennsylvania counties may impose an additional hotel/room tax. For Schuylkill County (classified as a third-class county), the maximum county hotel tax is 5% (if imposed locally).

State hotel occupancy tax

• State hotel occupancy tax is 6% of the rental price for lodging periods under 30 days.
• If a county imposes a hotel tax, the combined tax rate equals 6% plus the county rate (e.g., 6% + 5% = 11% in counties with a 5% room tax).
• Bookings through online platforms may be collected and remitted by the platform; otherwise, the owner must collect and remit the tax and obtain a Sales, Use, and Hotel Occupancy Tax license.

Pennsylvania Lodging and Housing Code (48 Pa.C.S. §1311 et seq.)

• Short-term rentals renting for fewer than 30 days qualify as “lodging establishments.”
• Lodging establishments must provide:
  • Safe and orderly accommodation.
  • Adequate sanitation and fire safety.
  • Guest recordkeeping: guest name, address, telephone number, email, check-in/check-out dates, and names of all occupants.
• Operators must maintain records for at least two years and make them available upon request by authorized officials.

Personal income tax treatment (state)

• Pennsylvania personal income tax is 3.07% (2024–2025).
• STR income is generally treated as business income; report on your PA personal income tax return (net of allowable expenses).
• Federal rules may allow favorable treatment if you both live in and rent the property for fewer than 15 days annually; for details, consult IRS Publication 527.

Insurance considerations

• Standard homeowners insurance often excludes or limits coverage for business activities (including STRs).
• Consider a rider or separate policy covering guest liability, theft, and potential loss of income.
• Review policy exclusions (vacancy, wear and tear, mold, flooding, etc.).

Zoning and municipal authority

• Zoning for STRs is controlled locally; Pottsville’s zoning code and enforcement determine where and how STRs may operate.
• Municipalities may cap STRs, require permits, or restrict STRs in residential zones; confirm local zoning status before purchasing or listing a property.

Contact Information: Local Authority in Charge of STRs

Pottsville City Hall

• Address: 401 North Centre Street, Pottsville, PA 17901
• Phone: 570.622.1234
• Fax: 570.622.3524
• Office hours: 8:00 AM–4:00 PM, Monday–Friday
• Email: fightblight@city.pottsville.pa.us (general inquiries)
• Website: www.city.pottsville.pa.us

Key departments:

• Tax Administrator (Business License): 570.622.1234 x326
• Code Enforcement (Compliance/Inspections): 570.622.1234 x323
• Trash/Single Hauling Program (3+ units or activation): 570.622.1234 x319

Pennsylvania Department of Revenue (Hotel Occupancy Tax)

• Home-sharing/short-term rental tax resources: www.pa.gov/agencies/revenue/resources/tax-types-and-information/sales-use-and-hotel-occupancy-tax/home-sharing.html
• Phone: 717-787-1064
• Address: Department of Revenue, 114 Strawberry Square, Harrisburg, PA 17128

How to Comply and Operate Efficiently

• Pre-purchase diligence: Confirm zoning and the property’s physical condition.
• Licensing and insurance: Acquire business license; keep active liability and casualty policies on file with the city.
• Inspections: Schedule and pass inspections; display the Certificate of Compliance prominently.
• Tenant/guest registration: Register all adult occupants with the Tax Office; maintain guest logs per state requirements.
• Trash service: Set up Single Hauling or a licensed contractor; provide clear instructions to guests on disposal and recycling.
• Taxes: Register for state hotel tax if not using a platform that remits on your behalf; remit county room tax as required; keep records for two years.
• Fair Housing and nuisance management: Train staff and property managers; maintain clear house rules; respond promptly to neighbor concerns and city notices.

Penalties and Enforcement

• Municipal enforcement includes quality-of-life tickets, nuisance property actions, and citations with court costs and fines.
• State tax noncompliance can lead to assessments, interest, and penalties.
• Lack of required insurance or certificate of compliance may result in orders to cease operations or additional penalties.

Sources and Links

• City of Pottsville, Rental Property Guidelines (PDF): www.pottsvillepa.gov/html/pdf/RentalProperty.pdf
• Lodge Compliance—Pottsville, PA local jurisdiction overview: www.lodgecompliance.com/local-jurisdiction/pottsville-pa
• Pennsylvania Department of Revenue—Home Sharing/Third-Party Broker Rentals: www.pa.gov/agencies/revenue/resources/tax-types-and-information/sales-use-and-hotel-occupancy-tax/home-sharing.html
• Joint State Government Commission—Short-Term Rental Industry in Pennsylvania (March 2025): jsg.legis.state.pa.us/resources/documents/ftp/publications/2025-03-17%20Short-term%20Rental%20Web%203.17.25.pdf
• IRS Publication 527—Residential Rental Property (federal guidance): www.irs.gov/pub/irs-pdf/p527.pdf

This guide focuses solely on Pottsville and Schuylkill County requirements and Pennsylvania statewide rules that apply to STRs. Always confirm the latest local zoning and tax updates with the City and the Department of Revenue.