Overview: Are Short-Term Rentals Allowed in Ashland, WI?

• Allowed, but regulated: Short‑term rentals are permitted in Ashland (City) and in Ashland County, with licensing and tax obligations at the county and city levels. The City of Ashland does not currently require a separate STR license; however, Ashland County requires a Tourist Rooming House (TRH) license to operate, and the City requires registration for room/accommodation tax with quarterly reporting. If you only list on marketplaces like Airbnb/VRBO, you generally will not need a Wisconsin seller’s permit, but you remain responsible for sales tax on those transactions through the marketplace and for room tax to the City.

Important note on conflicting local media reports: An Ashland Daily Press article dated January 29, 2025, states that Ashland “recently passed” a city STR ordinance requiring a license, occupancy caps, local manager proximity, and residential parking restrictions. The City’s official STR page states no city license is currently required. Treat this as a discrepancy requiring direct confirmation with the City prior to investing. This guide follows the City’s official guidance unless/until City requirements change.

Key takeaways:

• Allowed: Yes, with county TRH license plus city room tax registration/reporting.
• Licenses/Permits: Ashland County TRH license; City room tax registration and quarterly reports; State lodging code applies.
• Fees: County TRH license fee includes a pre‑inspection and annual license; amounts shown on the county application form.
• Taxes: Wisconsin sales tax applies to STR income; marketplace platforms typically collect sales tax for their bookings; City of Ashland room tax applies and requires quarterly reports.

How to Start a Short‑Term Rental Business in Ashland (Step‑by‑Step)

1. Confirm zoning and property eligibility

• Confirm the property is within city limits (for City room tax) and in Ashland County. If the property is inside another municipality (e.g., Bayfield), consult that municipality’s specific zoning and permit rules.
• Review any homeowners association, condominium bylaws, or deed restrictions that could limit STR use.

2. Obtain the required Ashland County TRH license (state lodging license via county agent)

• Contact Ashland County Health & Human Services (the state’s agent for TRH licensing).
• Submit a completed TRH application and pay required fees.
• Schedule and pass the pre‑inspection and any required follow‑up inspections.
• Annual renewal is required.

3. Register with the City of Ashland for Room/Accommodation Tax

• Complete the City’s Accommodations or Room Tax Application.
• File and remit quarterly accommodation tax reports and payments.

4. Understand Wisconsin sales tax obligations

• If you only list on Airbnb/VRBO or similar marketplaces that collect Wisconsin sales tax for you, you typically do not need a separate seller’s permit.
• For any direct bookings not processed via a marketplace, you may need to register, collect, and remit Wisconsin sales tax to the Department of Revenue.
• Consult the Wisconsin Department of Revenue guidance for homeowners/individuals selling short‑term lodging.

5. Meet state health and safety standards for lodging (ATCP 72)

• The Tourist Rooming House rules (ATCP 72) set requirements for safety equipment, sanitation, and operations; comply with all provisions that apply to your property type and occupancy.
• Maintain documentation on safety equipment, emergency information, and guest occupancy limits.

6. Finalize operations and marketing

• Set up listing platforms and ensure taxes are properly addressed.
• Implement guest communications, house rules, and standard operating procedures.
• Maintain records for county, city, and state compliance.

Required Documents, Permits, Licenses, and Guidelines City of Ashland

• City Room/Accommodation Tax Forms:
  • Accommodations or Room Tax Application Form
  • Chapter 154 Accommodations Tax Ordinance
  • Quarterly Accommodations Report Form
• No city STR license currently required per City of Ashland official guidance.

Ashland County TRH Licensing

• Ashland County TRH License Application
• Tourist Rooming House (TRH) Checklist
• TRH Licensing Requirements
• County contacts:
  • Pam Feustel, Ashland County Health & Human Services, 715‑682‑7028 ext. 163, pam.feustel@co.ashland.wi.us

Wisconsin State Requirements

• Wisconsin State Lodging Code (ATCP 72): Wisconsin’s lodging rules that apply to Tourist Rooming Houses; consult for safety, sanitation, occupancy, and operating standards.
• Wisconsin Department of Revenue guidance for homeowners/individuals selling short‑term lodging.

Recommended additional documentation

• Liability insurance appropriate for STR operations
• Safety equipment records (smoke/CO detectors, fire extinguishers)
• Guest occupancy plan and emergency contact procedures
• House rules and standard cleaning/turnover protocols

Specific Regulations by Jurisdiction City of Ashland (per City’s official STR page)

• Licensing: The City does not currently require a residential STR license.
• Room/Accommodation Tax:
  • Registration is required with the City.
  • Quarterly Accommodations Report Form must be filed.
  • Room tax rate and reporting cadence are set in Chapter 154 Accommodations Tax Ordinance.
• Media reports (to be verified with City):
  • Occupancy limit reported at 2 guests per bedroom plus 1 guest elsewhere.
  • On‑site, off‑street parking required for guest vehicles in residential areas; street parking reportedly prohibited for guests in residential zones.
  • Property owner or manager reportedly must be within 30 miles and available at all times.
  • These points are not confirmed by City’s official site; verify directly with the City before relying on them.

Ashland County TRH (state lodging license via county agent)

• Licensing scope: All STRs operating in Ashland County must obtain the Tourist Rooming House license.
• Inspections: Pre‑inspection required for new or change‑of‑ownership establishments; re‑inspection and compliance checks may apply.
• Fees: The TRH application form lists a combined fee package; amounts are shown on the form.
• Seasonal operations: The application requests months of operation if the business is seasonal.

State of Wisconsin

• Sales tax: Short‑term rentals are subject to Wisconsin sales tax. Marketplaces typically collect and remit sales tax for bookings processed on their platforms. If you take direct bookings, confirm registration and filing obligations with the Department of Revenue.
• Lodging code (ATCP 72): Set standards for safety, sanitation, and operations for lodging providers, including Tourist Rooming Houses.

Comparison: Bayfield County requirements (for context)

• State lodging license via Bayfield County Health Department (state’s agent).
• If outside City of Bayfield, City of Washburn, or Town of Pilsen, a Bayfield County Planning & Zoning Short‑Term Rental Permit is required.
• Fees for the county/state lodging license and county permit are published by Bayfield County.
• Municipalities within Bayfield County (e.g., Cities of Bayfield and Washburn) have additional local permit and room tax rules. Check those city portals directly.

Taxes for Ashland STRs

• State sales tax applies; marketplaces often collect it automatically.
• City of Ashland room/accommodation tax: Register, collect, and remit per City requirements; quarterly reporting is mandatory.
• Keep detailed records for all bookings (platform and direct), applicable tax amounts collected, and remittances.

Contact Information (Official Sources) Ashland County Health & Human Services (TRH Licensing)

• Phone: 715‑682‑7028 (Pam Feustel, ext. 163)
• Email: pam.feustel@co.ashland.wi.us
• Mailing Address: 630 Sanborn Ave., Ashland, WI 54806
• Notes: Contact for TRH application, inspection scheduling, and licensing questions.

City of Ashland (Room/Accommodation Tax, general city info)

• Main Phone: 715‑682‑7071
• Address: 601 Main Street West, Ashland, WI 54806
• City STR Page (for room tax forms and guidance): see Source Pages list below
• Contact for Room/Accommodation Tax: Jacey Dean, City of Ashland Treasurer/Comptroller, 715‑685‑1605, jdean@coawi.org

Wisconsin Department of Revenue (State Tax Guidance)

• Homeowners/Individuals Selling Short‑Term Lodging guidance page (for sales tax treatment of STRs): see Source Pages list below

Bayfield County Health Department (for reference, if your property is in Bayfield County)

• 117 E 5th Street, P.O. Box 878, Washburn, WI 54891
• Phone: 715‑373‑6100
• Vacation Rentals information: see Source Pages list below

Links to Source Pages (as provided)

• City of Ashland – Short Term Rentals (room tax forms, contacts): coawi.org/408/Short-Term-Rentals
• Ashland County TRH License Application: ashlandcountywi.gov/vertical/sites/%7B215E4EAC-21AA-4D0B-8377-85A847C0D0ED%7D/uploads/TRH__BB_App_3-2022.pdf
• Ashland Daily Press article (media report of new city ordinance; verify with City): www.apg-wi.com/ashland_daily_press/news/local/ashland-implements-short-term-rental-ordinance/article_c6827e6c-dd84-11ef-9d70-b3e99dd4b67b.html
• WBZH/Civic Media article (media report on new ordinance; verify with City): wbzh.fm/news/2025/01/29/ashland-short-term-rental-properties-ordinance
• Wisconsin Department of Revenue: Homeowners/Individuals Selling Short‑Term Lodging: www.revenue.wi.gov/Pages/TaxPro/2021/Homeowners-and-Individuals-Selling-Short-Term-Lodging.aspx
• Wisconsin Department of Revenue FAQ: Marketplace Sellers: www.revenue.wi.gov/Pages/FAQS/ise-marketplace-sellers.aspx#rst2
• Bayfield County – Vacation Rentals (for regional comparison): www.bayfieldcounty.wi.gov/992/Vacation-Rentals

Investor Notes and Action Items

• Pre‑acquisition due diligence:
  • Confirm the exact jurisdictional status of the parcel (Ashland City vs. Ashland County vs. another municipality).
  • If within Ashland City limits: plan for City room tax registration and county TRH licensing; if within Bayfield County or another municipality, follow those local rules plus state requirements.
• Licensing timeline:
  • Plan for pre‑inspection and approval lead times with Ashland County HHS before hosting guests.
• Media vs. official guidance:
  • Treat city media reports of a new STR ordinance as advisory and confirm current requirements directly with the City of Ashland before relying on them.
• Tax compliance:
  • Confirm marketplace collection of Wisconsin sales tax on their bookings and set up your own processes for any direct bookings or quarterly room tax filings.
• Operations:
  • Build compliance into your SOPs: occupancy limits, parking management, safety equipment checks, guest communications, and renewal calendars for licenses and taxes.

If you need jurisdiction‑specific nuances (for example, if a different municipality controls your site), consult the relevant city/county pages and contacts above and consider local legal counsel for permit and zoning strategy.