Operating a Vacation Rental

What is a Vacation Rental?
Vacation rentals are short-term accomodations permitted in residential dwelling units for the vacationing public for a period of one month or less. Rentals of a dwelling unit for less than 14 days in a calendar year are not considered vacation rentals. Prior to operating a vacation rental, a business licence approval must be granted, which includes a review of use, parking, signage and basic health & life safety requirements on the property. 

Recent Changes to Vacation Rentals (April 2017)
The City has recently modernized its short term rental program to reflect the significant change in the vacation rental industry and an increase in complaints towards some rental operations. Bylaw and busines licensing changes now provide a broader scope of use and licence types with associated fees and stronger regulation to limit the impact on neighbouring properties, the community and the tourism industry. 

  • If you are considering a vacation rental on your property, the Vacation Rental Guide 2018 [PDF - 496 KB]outlines the licensing guidelines, regulations and some of the building code and safety requirements
  • For an overview of the vacation rental program and answers to frequently asked questions, please consult the Vacation Rental Fact Sheet

Requirments for Vacation Rentals/Short Term Rentals to Collect and Remit PST and MRDT (October 2018)

The provincial government introduced new tax regulations on October 1, 2018 requiring short-term vacation rental businesses to collect and remit PST and the Municipal and Regional District Tax (MRDT) for guest stays. For more information, please visit: Bulletin PST or the Government of British Columbia website.   Some online platforms, such as Airbnb, may do this on your behalf, Please direct any questions directly to the Province using the contact information found in the link above.  The City of Penticton is not involved with this new taxation requirement and cannot answer questions.

Bylaw Enforcement:
Bylaw Enforcement Officers will be actively enforcing the vacation rental regulations. Property owners who operate vacation rentals without having a business licence or are operating against the regulations will be subject to bylaw enforcement and liable for daily fines for an ongoing offence.  This includes the rental of units to more than the maximum number of occupants or for the disturbance of neighbouring residents. 

  • To see a list of licensed vacation rentals currently operating in the city, please search "vacation rental" on the City's online business license database click here