Telluride Short-Term Rental Regulations

Last verified: 2026-04-07
TL;DR
Telluride requires an STR permit — 3 types available (fees from $288+). See below for eligibility by type. Combined tax rate is ~16%. Annual day limit: 29 days–unlimited (varies by permit type).
Key Requirements at a Glance
Permit ✓ Required — Classic License ($453+) — See below for other permit types
Primary Residence Not required
Annual Day Limit 29 days–unlimited (varies by permit type)
Tax Rate ~16%
Max Penalty $1,000 per day
Insurance Not required

New to short-term rentals? Jump to the compliance checklist →

Permit & Licensing

Which permit type applies to you?

Classic License

FeeAmount
Initial cost$453+
Renewal$453+ / Annual

This permit type does not require primary residence.

Limited License

FeeAmount
Initial cost$370.50+
Renewal$370.50+ / Annual

This permit type does not require primary residence.

Residential License

FeeAmount
Initial cost$288+
Renewal$288+ / Annual

This permit type does not require primary residence.

Application Process

Online only via Town of Telluride STR portal. Annual self-inspection checklist required. License non-transferable.

Note: Document requirements vary by permit type. See individual permit sections above for eligibility details.

Tax Obligations

TaxRateAuthority
Telluride sales tax 4.5% City of Telluride
Town Lodgers' Tax 2% City of Telluride
Lodging excise tax (airline guarantee) 2% City of Telluride
Affordable Housing STR Tax 2.5% City of Telluride
Colorado state sales tax 2.9% State of Colorado
San Miguel County sales tax 1.0% County
San Miguel Co RTA TR 1.07% County

Combined rate: ~16% of gross rental income.

Collection: Self-remit

Filing: Monthly

Rental Limits

Telluride annual day limit: 29 days–unlimited (varies by permit type).

Zoning & Restrictions

Non-residential zones only

Insurance & Safety

Safety & Operating Requirements

Penalties for Non-Compliance

Maximum penalty: $1,000 per day.

Platform Requirements

Compliance Checklist

Follow these steps to legally operate a short-term rental in Telluride:

  1. Determine your permit type. Telluride has 3 permit types. Identify which applies to your property (Classic License, Limited License, Residential License).
  2. Meet safety requirements. Annual self-inspection checklist certifying basic life and safety features. Random inspections may occur throughout the year. License must be posted prominently on the property.
  3. Apply for your STR permit. Submit application + $453+ fee. See permit types above to determine which applies.
  4. Register for tax accounts. Set up lodging tax accounts with Town of Telluride.
  5. Display your permit number. Include your permit/license number in all listings and advertisements.
  6. Collect and remit taxes. ~16% on all bookings.
  7. Renew annually. Renewal fees vary by permit type ($453+ / $370.50+ / $288+). See permit types above.

Official Sources

  1. Short-Term Rental Licenses | Telluride, CO - Official Website
  2. 6-1-35 Cumulative Short Term Rental Limitations | Telluride Municipal Code
  3. Sales & Use Tax Topics: Rooms & Accommodations - Colorado Department of Revenue