Overview: Are Short‑Term Rentals Allowed in Clarksville, AR?

Yes—based on the provided sources, short‑term rentals (STRs) appear to be allowed in Clarksville, AR, but they are not specifically regulated as a distinct land use in the city’s zoning code. Clarksville’s Zoning Code (2016) does not include an “Accessory Dwelling Unit” or a dedicated “Short‑Term Rental” section, nor does it list “vacation rentals” or similar uses in its permitted or special use tables. Consequently, any STR operation must be evaluated against the underlying residential or commercial zoning standards for the property (e.g., R‑1, R‑2, R‑3, R‑O, C‑1, C‑2, C‑3, etc.). As with any home‑based or commercial use, the activity must be consistent with the district’s permitted uses and cannot create conditions contrary to health, safety, or neighborhood character. Owners should confirm with the City of Clarksville Planning/Building Department that the intended STR use and any external alterations (e.g., signage, parking, number of occupants, or changes to the building’s occupancy classification) comply with zoning, building, and fire codes.

Importantly, the content we have from Clarksville does not identify any city‑specific STR permit, licensing, registration, or fee requirements. In the absence of a local STR ordinance, state‑level tax registration and local business licensing likely apply.

How to Start a Short‑Term Rental Business in This Market

• Confirm zoning and land use eligibility:

  • Identify the subject property’s zoning district (e.g., R‑1, R‑2, R‑3, R‑O, C‑1, C‑2, C‑3, I‑1, I‑2, A‑1) in Clarksville’s official zoning map.
  • Ensure the STR use is compatible with the district and not expressly prohibited. Absent a specific STR category, an STR is generally treated as a residential rental or lodging use and must meet the conditions of the underlying zone.
  • If the property is in a Planned Unit Development (PUD), review the PUD’s approved uses and any additional restrictions that may limit STR operations.

• Address occupancy, safety, and housing standards:

  • Property must comply with the International Residential Code (IRC) and International Building Code (IBC) standards adopted in Arkansas, including any state‑level health and safety provisions relevant to transient lodging.
  • Confirm adequate life‑safety features (e.g., smoke/CO detectors, emergency egress, fire extinguishers, and posted evacuation plans).

• Business and tax setup:

  • Register with the State of Arkansas to collect sales and use taxes applicable to lodging/accommodation (see “Required Documents, Permits, Licenses, and Guidelines” below).
  • Obtain any required local business license/privilege license from Johnson County or the City of Clarksville as applicable.

• Guest experience and insurance:

  • Develop house rules, quiet hours, occupancy limits, parking standards, and check‑in/out protocols consistent with neighborhood expectations and city ordinances.
  • Secure appropriate insurance coverage tailored to STR exposure (property damage, liability, loss of rental income).

• Ongoing compliance:

  • Maintain records for tax remittance and any local inspections.
  • Periodically confirm there have been no new city or county STR adoptions or code amendments that affect your operation.

Required Documents, Permits, Licenses, and Guidelines

• Zoning compliance (local):

  • Review Clarksville Zoning Code (2016) for your property’s district standards (bulk, height, setbacks, parking, signs, special uses).
  • Confirm use eligibility with the Planning/Building Department before listing.

• Building and occupancy (state/local standards):

  • Building permit: If any structural, electrical, plumbing, or fire‑life‑safety alterations are planned (e.g., adding rooms, altering egress, installing safety equipment).
  • Certificate of occupancy: May be required if occupancy classification changes; verify with the Building Official.

• Business licensing:

  • Local business license/privilege license: Clarksville may require registration for commercial activity; confirm with City Hall/County (see contact section).
  • State business tax registration: Registration with the Arkansas Department of Finance and Administration (DFA) for sales/gross receipts tax and consumer’s use tax.

• Taxes and lodging assessments (state level):

  • Sales and use tax on lodging/accommodation and applicable local taxes.
  • State administrative guidance indicates businesses must collect and remit “sales tax” on accommodation. A separate “lodging” or “hotel” tax may also apply; consult the latest DFA guidance and the state’s hotel tax statute (Ark. Code §§ 26‑63‑101 et seq.) for current rates and registration steps.

• Documentation to keep on file:

  • Zoning determination/contact notes
  • Building permits/approvals
  • Business license confirmation
  • State tax registration and filing confirmations
  • Safety checklists and insurance coverage

Specific Regulations: City, County, and State

• City of Clarksville (zoning, 2016):

  • Clarksville Zoning Code establishes general residential, commercial, industrial, and planned development districts.
  • It does not include a dedicated “Short‑Term Rental” land‑use category, nor does it list “vacation rental” uses explicitly. STR operations must be evaluated against the underlying zoning district.
  • Standards to note:
    • Home Occupations: Allowed when accessory to a residential use and compliant with performance standards (e.g., no external alterations inconsistent with the neighborhood; signage, traffic, parking, noise limits).
    • Accessory Buildings and Residential Provisions: Must respect limits on structures and bulk in residential zones.
    • Off‑Street Parking: Required by zoning; the number and layout are based on use and district standards.
    • Signs: Regulated by district; temporary or home‑occupation signage must conform to size, placement, and permit rules.
    • Residential Districts: R‑1, R‑2, R‑3, R‑4, R‑O; each defines permitted uses and bulk requirements that frame what residential rental activities can occur on a property.
  • Planning/Building administration is handled by the City Building Official and Administrative Official, with permits, certificates of occupancy, and enforcement mechanisms provided for in the Code.

• Johnson County (local licensing):

  • Johnson County administers business license and tax filings for unincorporated areas and may issue a business license within city limits or via a reciprocal arrangement. Confirm applicability and steps with County or City (see contact section).

• State of Arkansas:

  • Short‑term rentals are treated as lodging/accommodation for tax purposes; businesses must collect and remit state sales/use taxes, and in many cases the “lodging” tax under Title 26, Chapter 63.
  • Safety and building compliance is governed by adopted state codes (IRC/IBC). Use and occupancy changes may trigger inspection/permit requirements.

• Regulatory gaps:

  • No city‑specific STR registration, permit, or fee program was identified in the provided material. If adopted after 2016, such rules would supersede the absence of STR provisions in the 2016 Zoning Code. Confirm with the City before listing.

Contact Information

• City of Clarksville – Planning/Building/Zoning

  • Website (official): www.clarksvillear.gov
  • Building Official: Shawn Grigsby (listed in Zoning Code)
  • City Hall: 2023-472-5301
  • Note: Call to confirm current zoning interpretation, any post‑2016 STR updates, and building permit/occupancy requirements.

• City of Clarksville – General Contact

  • Phone: 2023-472-5301
  • Mailing address (commonly used): 100 S Main St, Clarksville, AR 72830
  • Website (official): www.clarksvillear.gov

• Johnson County (licensing, tax):

  • Phone: 479-754-8203 (commonly used; confirm current number)
  • Address: 215 W Main St, Clarksville, AR 72830
  • Note: Confirm county‑issued business license requirements and whether a city registration also applies.

Links to Source Pages (as provided)

• City of Clarksville Zoning Code (2016) PDF: www.clarksvillear.gov/uploads/1/0/2/0/102084138/clarksville_zoning_code_4.11.2016.pdf
• City of Clarksville official website: www.clarksvillear.gov

Notes for Investors

• Because Clarksville’s zoning code does not expressly address STRs, investors should assume the standard residential and commercial zoning rules govern—and obtain a written confirmation from the Planning/Building Department on the use classification and any required permits.
• While there is no evidence of a city‑specific STR permit in the provided documents, local or state rules may have changed after 2016; verify current requirements before listing.
• For tax, register with the State of Arkansas and align collection/remittance with the latest rates and filings for lodging; confirm local taxes with the County/City.