Executive overview: Yes—short‑term rentals (STRs) are allowed in Swan Lake, NY (Town of Liberty, Sullivan County). However, operating legally requires you to comply with local town requirements (permit, inspection, 2% town occupancy tax), county occupancy tax (4%), and New York State laws. Violations can trigger enforcement, fines, and forced shutdowns.

1. Market and legality at a glance

• Swan Lake is a rural/suburban hamlet within the Town of Liberty, Sullivan County, NY. The GoSummer source confirms STRs are permitted within this jurisdiction, subject to town controls: obtain a town permit, pass inspection, and pay a 2% hotel occupancy tax. Strict zoning applies and violations can result in fines.
• New York State law applies statewide. Short‑term rentals are “rentals of 30 days or less.” Hosts must comply with health and safety standards (e.g., fire and building codes, smoke/CO detection, occupancy limits).
• Sullivan County imposes a 4% occupancy tax on STRs (rentals ≤ 30 days) and requires owners to register and remit that tax. A 2019 Airbnb community forum post corroborates that at least one New York enforcement action can shut a listing over unresolved neighbor complaints and code violations.

Important caveat on taxes: Multiple third‑party summaries conflict on whether 2% is a “town” tax or a mistake (some say Sullivan County 4%). You must confirm current rates and collections (county vs. municipality vs. platform) with the Sullivan County Treasurer and Town of Liberty before collecting or remitting.

2. How to start an STR business in Swan Lake Step 1: Property and zoning

• Confirm the property is in the Town of Liberty. Validate that short‑term rental use is permitted at your property’s zoning (residential vs. commercial districts). If you do not own the property, obtain written landlord authorization for STR use.

Step 2: Permit and inspection

• Obtain a short‑term rental permit from the Town of Liberty before listing (GoSummer). Schedule and pass any required inspections (often safety and egress-related). Keep the active permit on file and renew per local rules.

Step 3: Register for occupancy taxes

• Sullivan County occupancy tax (4%): Register with the County Treasurer and collect/remit 4% on bookings of 30 days or fewer. Registration forms and procedures are typically published on the County Treasurer’s page; contact them if you cannot locate your exact form (see Contacts).
• New York State sales tax: Short‑term lodging is subject to NY sales tax; register with the NYS Department of Taxation and Finance (Taxpayer Services Center) and file returns. NY also requires an informational return (NYT‑437) annually for lodging providers.
• Municipal occupancy tax (2% per GoSummer): Confirm whether a 2% municipal tax is in effect for Liberty and whether the town or an intermediary collects/remits it. Do not assume Airbnb/VRBO will do it; in many jurisdictions the owner remains liable even if a platform says otherwise.

Step 4: Launch your listing and operations

• Prepare safe, compliant housing per town, county, and state standards (smoke/CO alarms, fire extinguishers, clearly posted maximum occupancy, egress, and housekeeping protocols).
• Create listings with transparent rules, quiet hours, and local contact information for neighbors to reduce complaints (critical in rural/residential areas). Consider noise monitoring and guest screening to prevent disturbances.
• Align house rules with local laws; mention you are a licensed/registered STR, with local permit number where applicable.
• Set up tax tracking in your PMS or accounting system to collect and remit town/county/state taxes on time.

Step 5: Ongoing compliance

• Maintain records: permit, inspection reports, tax registrations, and monthly/quarterly filings.
• Address neighbor issues promptly; unresolved complaints can escalate to violations (as reflected by the 2019 forum case).
• Monitor Town and County websites for code or tax changes annually.

3. Required documents, permits, licenses, and guidelines Town of Liberty (City/Local—effective for Swan Lake)

• Required: STR permit and inspection before listing (per GoSummer). Strict zoning laws apply; confirm zoning allowances and any buffers/condo/HOA constraints. Hosts must collect and remit a 2% hotel occupancy tax (GoSummer) and are liable for violations and fines.

Sullivan County (County)

• Registration: Register with the County Treasurer to collect and remit the 4% occupancy tax on rentals ≤ 30 days. Penalty provisions apply for non‑compliance; the County can pursue legal action for unpaid tax.

New York State

• Registration: Register with the NYS Department of Taxation and Finance to collect/remit state sales tax on short‑term lodging.
• Informational filing: File NYT‑437 annually by March 15.
• Health/safety: Comply with fire and building codes and local health standards; NYS emphasizes responsible hosting and compliance. Long‑term rental registrations do not apply to STRs, but any facility offering lodging may need additional health/safety clearances.

4. Specific regulations affecting Swan Lake operators Town of Liberty (local)

• Permit and inspection required before listing; local zoning may restrict STRs in certain areas. Operators must collect and remit a 2% hotel occupancy tax and are subject to fines for violations.

Sullivan County (county)

• 4% occupancy tax applies to rentals of 30 days or fewer. Registration with the County Treasurer is required. Owners are liable for occupancy tax even if a platform claims collection; non‑compliance can trigger penalties and legal action.

New York State

• STRs are rentals ≤ 30 days. Hosts must register for sales tax, file NYT‑437, and comply with state health and safety standards (e.g., fire and building codes). Hosts remain responsible for lawful operations even when using booking platforms.

Risk exposure

• Neighbor complaints over noise, parties, or overcrowding can lead to regulatory action and listing shutdowns (see the 2019 forum case where an STR in New York was ordered to be taken offline after violations). Implement clear rules, guest screening, and monitoring to mitigate this.

5. Contacts Town of Liberty (municipality)

• Phone: Not provided in sources.
• Email: Not provided in sources.
• Address: Town of Liberty Offices, 2454 County Route 51, Ferndale, NY 12734 (general contact address—verify for STR office).
• Website: Not provided in sources.
• Use for: STR permits, inspections, and the 2% municipal occupancy tax administration.

Sullivan County Treasurer

• Phone: 518‑761‑6388 (occupancy tax)
• Address: Sullivan County Treasurer’s Office, 100 North Street, PO Box 5012, Monticello, NY 12701
• Website: Not provided in sources.
• Use for: County occupancy tax registration (4%) and filing.

NYS Department of Taxation and Finance (sales tax)

• Phone: Not provided in sources.
• Online registration: Online portal (check New York State website).
• Use for: Sales tax registration and filings (STR lodging subject to sales tax).

Note on conflicting tax rates: The 2% municipal occupancy tax (Town of Liberty) appears only in third‑party content and may reflect an outdated rate or misattributed law. Sullivan County’s 4% occupancy tax is documented by County sources. Confirm rates and whether Airbnb/VRBO collects/remits on your behalf; do not rely on platform statements alone.

6. Source pages used (and relevance to Swan Lake)

• GoSummer “Vacation Rental Management in Swan Lake, New York” — Confirms permit/inspection, 2% occupancy tax, and zoning/fines; situates Swan Lake in the Town of Liberty. www.gosummer.com/vacation-rental-management/swan-lake-new-york
• Checkmate Rentals “Swan Lake, New York – Airbnb Laws” — Notes compliance with Sullivan County and NYS; clarifies lack of city‑specific laws; states need to collect state sales tax and county occupancy tax. www.checkmaterentals.com/airbnb-management/swan-lake-new-york
• Warren County (NY) “Short‑Term Rentals Registration” — Provides a concrete local model (county occupancy tax, registration, penalties) for NY counties; relevant as a benchmark, though Warren County is not Swan Lake’s county. www.warrencountyny.gov/news/warren-county-short-term-rentals-registration
• Warren County (NY) “County Treasurer: Short‑term rental owner registration required” — Reinforces county occupancy tax enforcement and legal action for non‑compliance; non‑Sullivan example. www.warrencountyny.gov/news/county-treasurer-short-term-rental-owner-registration-required
• Airbnb Community Forum (2019) — Demonstrates enforcement risk from neighbor complaints and violation outcomes in NY. community.withairbnb.com/t5/Hosting/Hi-Guys-I-need-urgent-advice-for-my-airbnb-listing/m-p/932911

Closing reminder: Because some tax rates and collection mechanisms are contested in public summaries, always confirm current obligations directly with the Town of Liberty and the Sullivan County Treasurer prior to launch.