Prattville Short-Term Rental Regulations

Sources verified 2026-07-22
TL;DR
Prattville requires General Business License ($75 minimum (+0.1% of gross receipts over $75,000)) with no primary-residence requirement. Combined tax rate is 15.5% + $2 per occupied room per night (4% state + 3% county + 8.5% city). No annual day limit.
Disclaimer
This information is provided for general informational purposes only and does not constitute legal, tax, or regulatory advice. Short-term rental regulations change frequently. Always verify current requirements with your local government before listing your property or making investment decisions.
Key Requirements at a Glance
Permit ✓ RequiredGeneral Business License ($75 minimum (+0.1% of gross receipts over $75,000))
Primary Residence ✗ Not required
Annual Day Limit No limit
Tax Rate 15.5% + $2 per occupied room per night (4% state + 3% county + 8.5% city)
Max Penalty $500 per offense (plus up to 6 months imprisonment for willful violations)
Insurance Not required

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

Permit & Licensing

General Business License

FeeAmount
Initial cost$75 minimum (+0.1% of gross receipts over $75,000)
Renewal$75 minimum (+0.1% of gross receipts over $75,000)

This permit type does not require primary residence.

Application Process

No dedicated short-term rental permit exists (Zoning Ordinance § 7.19 'Short Term Rentals' is reserved/unadopted). Instead, STR operators must obtain the city's general business license: apply by email ([email protected]), mail, or in person at City Hall; once approved, the license is mailed to the business. The license code defines 'Business' to include 'the lease or rental of residential or nonresidential real estate.' STRs are billed under the 'Accommodations' classification (Fee Schedule C) and the license must be renewed annually between January 1 and January 31.

Tax Obligations

TaxRateAuthority
Alabama State Lodgings Tax 4% State of Alabama
Autauga County Lodging Tax (within Prattville corporate limits) 3% County
City of Prattville Lodging Tax 8.5% City of Prattville
City of Prattville Lodging Fee (per occupied room per night, funds parks & recreation capital improvements) $2 per occupied room per night City of Prattville

Combined rate: 15.5% + $2 per occupied room per night of gross rental income.

Collection: Filed via the Alabama Department of Revenue 'One Spot' e-filing system (set up as a city/county 9501 return for self-administered jurisdictions), or by paper return delivered in person, emailed, or mailed to the City of Prattville Finance Department.

Filing: Monthly

Rental Limits

Prattville does not impose an annual cap on the number of nights you can rent.

Zoning & Restrictions

Insurance & Safety

Insurance

Prattville does not require short-term rental operators to carry specific insurance. Standard homeowner policies often exclude short-term rental activity, so many hosts obtain dedicated short-term rental or landlord liability coverage.

Penalties for Non-Compliance

Operating without a required business license: fine up to $500 per offense (each day a separate offense), plus possible imprisonment up to 6 months for willful violations. Delinquent license renewal: 15% penalty for the first 30 days late, an additional 15% for a delinquency of 60+ days, plus 1% simple interest per month on unpaid license taxes and penalties.

Market Snapshot

Demand context for Prattville from official government and tourism statistics — the latest published annual figures, not a projection of rental income.

MetricValueSource
Population (2025 est.) 40,582 (+7.3% since 2020) U.S. Census Bureau

Figures are the latest annual statistics published by the linked official sources (retrieved 2026-07-13). Visitor counts cover the geography stated by each source, which can be wider than the city itself. Regulations above — not market conditions — determine whether and how you may operate.

Compliance Checklist

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

  1. Apply for General Business License. Submit application and pay the $75 minimum (+0.1% of gross receipts over $75,000) fee.
  2. Register for tax accounts. Set up lodging tax accounts with City of Prattville Finance Department. Register separately with the local city and/or county for their lodging taxes (self-administered — not collected by the state).
  3. Collect and remit taxes. 15.5% + $2 per occupied room per night on all bookings.
  4. Renew annually. $75 minimum (+0.1% of gross receipts over $75,000) renewal fee.

Frequently Asked Questions

Do you need a permit to run an Airbnb in Prattville?
Yes. Operating a short-term rental — including an Airbnb or Vrbo — in Prattville requires a General Business License.
Does Prattville require a short-term rental to be your primary residence?
No. Prattville allows non-owner-occupied short-term rentals, so investment properties can qualify provided you hold the required permit.
How many days a year can you short-term rent in Prattville?
Prattville does not cap the number of nights per year you can short-term rent, though permitting, zoning, and occupancy rules still apply.
What taxes do you pay on a short-term rental in Prattville?
Short-term rental stays in Prattville are subject to a combined 15.5% + $2 per occupied room per night in lodging taxes. This combines 4% Alabama State Lodgings Tax + 3% Autauga County Lodging Tax (within Prattville corporate limits) + 8.5% City of Prattville Lodging Tax + $2 per occupied room per night City of Prattville Lodging Fee (per occupied room per night, funds parks & recreation capital improvements). Hosts are legally responsible; many booking platforms collect and remit them automatically on the host's behalf.
What are the penalties for short-term rental violations in Prattville?
Penalties run up to $500 per offense (plus up to 6 months imprisonment for willful violations).

Official Sources

  1. License and Permits | City of Prattville, AL
  2. City Tax | City of Prattville, AL
  3. Chapter 38, Article III, Division 5 - Transient Occupancy Tax | Code of Ordinances | Prattville, AL | Municode Library
  4. Chapter 38, Article V - Business Licenses and Taxes | Code of Ordinances | Prattville, AL | Municode Library
  5. Appendix A - Zoning Ordinance, Article 7, § 7.19 - Short Term Rentals | Code of Ordinances | Prattville, AL | Municode Library
  6. Local Lodgings Tax Rates Report - Alabama Department of Revenue