Bardstown Short-Term Rental Regulations

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Permit & Licensing

Type 1/2 Conditional Use Permit (owner-occupied)

The property must be your primary residence. This means investment properties are not eligible for this permit type.

Zoning restriction: Owner-occupied Type 1/2 rentals require a Board of Adjustment conditional use permit and are allowed in residential districts (Agriculture through R-4, R-1T) as well as the P-1 and B-1 districts; no inter-unit separation distance applies.

Type 3 Conditional Use Permit (non-owner-occupied)

This permit type does not require primary residence. Zoning restriction: Non-owner-occupied Type 3 rentals in Bardstown's standard residential districts are confined to the A-1 Agriculture zone only (one per property, 400-ft separation from other non-owner STRs); a separate Type 3 rule permits up to 6 rental units per property in the P-1 and B-1 districts, none on or below the ground floor.

Application Process

Apply for a Conditional Use Permit through the Joint City-County Planning Commission of Nelson County: a pre-application meeting with Planning staff is required at least 5 business days before filing; the application must include a site plan, floor plan, and a list of all adjoining property owners; the CUP filing fee, Certificate of Land Use Restriction fee, and newspaper-notification fee (per the Commission's published fee schedule) are due at filing; the Board of Adjustment then holds a public hearing to approve, modify, or deny the permit; a Building Inspector/Fire Marshall inspection is required before the rental may begin operating, and compliance evidence must be resubmitted at each annual inspection.

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

Tax Obligations

Combined rate: 10% of gross rental income.

Collection: Airbnb and VRBO collect and remit the 1% state transient room tax and local transient room taxes automatically on behalf of participating Kentucky hosts; hosts who receive rent directly (not through a platform) must register with the Kentucky Department of Revenue and remit state sales tax, state transient room tax, and the local transient room tax themselves.

Rental Limits

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

Occupancy & Density Limits

2x the number of bedrooms rented, not including the resident owner and family members; the Board of Adjustment may further limit rooms/occupancy

Zoning & Restrictions

Short-term rentals are not a by-right use anywhere in Bardstown; every type requires a Board of Adjustment conditional use permit under Zoning Regulations Article 12. Under the February 2026 amendment, non-owner-occupied whole-unit rentals (Type 3) in the city's standard residential districts were newly confined to the A-1 Agriculture zone (previously allowed city-wide subject only to a 400-ft spacing rule); owner-occupied rentals (Type 1/2) remain permittable via CUP across residential districts, and a separate multi-unit Type 3 allowance (up to 6 units) applies in the P-1 and B-1 commercial/office districts.

Insurance & Safety

Insurance

Bardstown 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.

Safety & Operating Requirements

• Building Inspector and Fire Marshall inspection required before operation may begin, with evidence of fire/building compliance resubmitted at each annual inspection
• Annual Health Department food safety permit required if any food/beverage service is offered to guests
• Off-street parking required entirely on-site per Article 11 parking standards
• Responsible local contact person must be posted on-site and available during all rental occupancy periods to respond to emergencies/complaints

Penalties for Non-Compliance

Violation of the Zoning Regulations (including unpermitted short-term rental operation) is a misdemeanor punishable by a fine of $10-$500 per offense; each day of continued violation constitutes a separate offense.

Market Snapshot

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

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 Bardstown:

1. Determine your permit type. Bardstown has 2 permit types. Identify which applies to your property (Type 1/2 Conditional Use Permit (owner-occupied), Type 3 Conditional Use Permit (non-owner-occupied)).
2. Meet safety requirements. Building Inspector and Fire Marshall inspection required before operation may begin, with evidence of fire/building compliance resubmitted at each annual inspection. Annual Health Department food safety permit required if any food/beverage service is offered to guests. Off-street parking required entirely on-site per Article 11 parking standards. Responsible local contact person must be posted on-site and available during all rental occupancy periods to respond to emergencies/complaints.
3. Apply for your STR permit. Submit application. Contact city for fee details. See permit types above to determine which applies.
4. Register for tax accounts. Set up lodging tax accounts with Bardstown-Nelson County Tourist & Convention Commission; Kentucky Department of Revenue.
5. Collect and remit taxes. 10% on all bookings.
6. Renew annually. Contact city for renewal fee details.

Frequently Asked Questions

Do you need a permit to run an Airbnb in Bardstown?

Yes. Bardstown requires a short-term rental permit to operate an Airbnb or Vrbo, and there are 2 permit types — one requires the property to be your primary residence, and another allows non-owner-occupied (investment) use. See the permit types above to find which applies to your property.

Does Bardstown require a short-term rental to be your primary residence?

It depends on the permit type. At least one Bardstown permit requires the property to be your primary residence, while another allows non-owner-occupied (investment) use — see the permit types above.

How many days a year can you short-term rent in Bardstown?

Bardstown 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 Bardstown?

Short-term rental stays in Bardstown are subject to a combined 10% in lodging taxes. This combines 3% Bardstown-Nelson County Transient Room Tax + 1% Kentucky Statewide Transient Room Tax + 6% Kentucky State Sales Tax. 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 Bardstown?

Penalties run up to $500 per offense (each day a separate offense).