Rental Rules by City / South Carolina / Hilton Head Island
Hilton Head Island short-term rental rules & tax calculator
📋 The Basics
- Can I rent my place short-term here?
- Yes, with a permit
- Do I need a permit?
- Yes. You need a yearly Town STR permit and a business license.
- What taxes do I pay?
- Total about 10%. Check your Airbnb payout report to see which ones Airbnb collects; you pay the rest yourself.
Your 3 steps to be legal
- Get the Town STR permit.
- Get a Town business license.
- Open a Town tax account and file every quarter.
⚠️ Biggest risk: 5% of unpaid tax per month late, plus a possible summons.
Words confusing? See the glossary. Details and official sources are below.
Tax calculator
Rates used: SC state sales tax 5% + SC state accommodations tax 2% + Town accommodations tax 1% + Town beach preservation fee 2% = 10%. Mandatory cleaning fees are included in the taxable total. Town 3% (1% accommodations tax + 2% beach preservation fee) on stays under 90 days, filed quarterly. Beaufort County local option sales/accommodations taxes not included: verify.
What Airbnb collects: What Airbnb collects here: verify on Airbnb's local tax help pages and in your payout reports; you remain responsible for any tax it does not collect.
Advanced details (laws, fees, sources)
Rules
| Permit | A Town of Hilton Head Island short-term rental permit is required (annual, May 1 to April 30); fee reported as $150 per bedroom: verify with the Town. |
|---|---|
| Business license | Anyone owning a rental property (or partial interest) needs a Town business license. |
| Tax account | Open an account with Town Revenue Services; returns are due quarterly (Apr 20, Jul 20, Oct 20, Jan 20), even with zero sales. |
| Penalties | 5% of unpaid tax per month late, plus a possible $1,092.50 municipal summons. |
Items marked "Verify with the city" could not be confirmed from an official source; call the office listed before relying on them.
Sources
Free tools
Free "Is my rental legal?" checklist · Free tourist tax calculator
Rules can change
Hilton Head Island's rules, its tax rates and platform policies can change through a council vote, a new state law or a court ruling, often with little notice to hosts. We re-check this page monthly; subscribers get notified. Stay Compliant for $4.99/mo.
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Stay Compliant: $4.99/month
Rules, tax rates and Airbnb/Vrbo policies can change without warning, and hosts who miss a change can be fined. Get alerts when your city, county or state changes, deadline reminders, a pending-bill watch list and a monthly host brief (even in quiet months: "we checked on [date]; no changes"). Compare plans.
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Not legal or tax advice. Last verified Oct 24, 2026. Rules and rates change: confirm with the official sources linked before you rent or file.