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Kilkenny, Ireland Short-Term Rental Regulation: A Guide For Airbnb Hosts

Disclaimer: This article is for informational purposes only and not legal advice. Regulations could have changed since this article was published. Check local zoning authorities and consult a legal professional before making any decisions.

Kilkenny, Ireland

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What are Short-Term Rental (Airbnb, VRBO) Regulations in Kilkenny, Ireland?

Short-term rentals, such as those listed on Airbnb and VRBO, have become increasingly popular in Kilkenny, Ireland. However, there are regulations that hosts must follow to legally operate their rental properties. This article will provide an overview of the short-term rental regulations in Kilkenny and offer guidance on starting a short-term rental business in the area.

Starting a Short-Term Rental Business in Kilkenny

Before listing your property on platforms like Airbnb or VRBO, it's essential to understand the local regulations and obtain the necessary permissions. In Kilkenny, the following rules apply to short-term rentals:

1. Definition of short-term letting: Short-term letting is defined as the letting of a house or apartment, or part of a house or apartment, for any period not exceeding 14 days.

2. Planning permission requirements: If your property is located in a Rent Pressure Zone (RPZ), you may need to apply for planning permission from the Kilkenny County Council to use it for short-term letting. However, there are some exemptions:

  • Homesharing (letting a room or rooms in your principal private residence) is permitted without restriction.
  • Letting your entire principal private residence for up to 90 days per year is allowed without requiring planning permission.

3. Registration: A new online registration system for short-term lets is being developed and is expected to launch in 2024. Hosts will be required to register their properties annually with Fáilte Ireland and confirm they have the correct planning permission, if needed.

4. Tax obligations: If you rent out your property for short-term lets, you must declare the income to Revenue each year. It's important to familiarize yourself with the tax implications of earning rental income through short-term letting.

5. Enforcement: Planning authorities can take legal action if a property does not have the required permission or if the terms of the permission have not been met.

When starting your short-term rental business in Kilkenny, consider the following steps:

  1. Research local regulations and obtain necessary permissions
  2. Create a business plan and set realistic financial projections
  3. List your property on platforms like Airbnb and VRBO, providing detailed information and high-quality photos
  4. Establish clear house rules and communicate them to guests
  5. Prepare your property with necessary amenities and ensure it is clean and safe
  6. Plan for guest interactions and have a system in place for handling any issues that may arise

By understanding and complying with the short-term rental regulations in Kilkenny, you can successfully start and operate your rental business while contributing to the local tourism economy. As an Airbnb host in Donegal stated, "Renting out our Mountain View home to groups travelling on Airbnb has helped us afford our bills and pay for further education for our kids. We always make sure to point guests towards the same small businesses that we enjoy when we're here in winter and I love to support travellers and the rural economy."

Short-Term Rental Licensing Requirements in Kilkenny

To legally operate a short-term rental in Kilkenny, property owners must adhere to the following licensing requirements, as outlined by the Kilkenny County Council:

  1. Planning permission: If your property is located in a Rent Pressure Zone (RPZ) and is not your principal private residence, you must apply for a change of use planning permission from the Kilkenny County Council to use it for short-term letting. Homesharing (letting a room or rooms in your principal private residence) is permitted without restriction.
  2. Registration: A new online registration system for short-term lets is being developed and is expected to launch in 2024. Hosts will be required to register their properties annually with Fáilte Ireland and confirm they have the correct planning permission, if needed.
  3. Reporting obligations: If you homeshare your principal private residence in a rent pressure zone and wish to avail of the planning exemptions, you must register with Kilkenny County Council and fulfill specified reporting obligations using Forms 15, 16, and 17.

To submit the required forms and apply for planning permission, property owners should contact:

Short Term Letting Section, Planning Department
County Hall, John Street, Kilkenny, R95 A39T
Email: planning@kilkennycoco.ie
Phone: 056 7794010

The process for obtaining planning permission can take several weeks to a few months, depending on the complexity of the application and any objections raised.

Penalties for non-compliance:

  1. Fáilte Ireland may levy a €300 fixed payment notice on property owners who advertise their property without a valid registration number. They also have the option to bring the case to the district court, where the maximum fine is up to €5,000.
  2. Platforms like Airbnb that advertise properties without valid Fáilte Ireland registration numbers can face fines of up to €5,000 per invalid listing.
  3. Landlords who flout the rules can be fined up to €5,000 or jailed for six months, with an additional €1,500 fine for every extra day the rules are breached.

It is crucial for property owners to understand and comply with these licensing requirements to avoid penalties and ensure the legal operation of their short-term rental businesses in Kilkenny.

Required Documents for Kilkenny Short-Term Rentals

To operate a short-term rental in Kilkenny, property owners must provide the following documents:

Planning permission (if required): If your property is located in a Rent Pressure Zone (RPZ) and is not your principal private residence, you must apply for a change of use planning permission from the Kilkenny County Council to use it for short-term letting. The planning permission demonstrates that your property is approved for short-term rental use.

Registration forms (for exemptions): If you homeshare your principal private residence in a rent pressure zone and wish to avail of the planning exemptions, you must register with Kilkenny County Council and submit the following forms:

  1. Form 15: Completed at the start of each year
  2. Form 16: Completed when the 90-day cap has been reached
  3. Form 17: Completed at the end of each year

These forms help the council track your short-term rental activity and ensure compliance with the 90-day limit for homesharing in RPZs.

Fáilte Ireland registration number (upcoming requirement): A new online registration system for short-term lets is being developed and is expected to launch in 2024. Hosts will be required to register their properties annually with Fáilte Ireland and obtain a valid registration number to list their properties on booking platforms.

Tax registration: As a short-term rental host, you must register with the Revenue Commissioners and obtain a tax registration number. This ensures that you are properly reporting your rental income and paying the appropriate taxes.

Insurance documentation: It is highly recommended to obtain appropriate insurance coverage for your short-term rental property. This may include homeowner's insurance, landlord insurance, or specialized short-term rental insurance. Having proof of insurance can protect you in case of accidents, damages, or liability claims.

To obtain planning permission or submit registration forms, contact the Short Term Letting Section, Planning Department, County Hall, John Street, Kilkenny, R95 A39T, email planning@kilkennycoco.ie, or call 056 7794010.

By providing these required documents, short-term rental hosts in Kilkenny can demonstrate compliance with local regulations and operate their businesses legally.

Kilkenny Short-Term Rental Taxes

When operating a short-term rental business in Kilkenny, it's essential to understand the applicable taxes and potential deductions. The two main types of taxes that apply to short-term rentals in Ireland are income tax and Value Added Tax (VAT).

Income Tax:

Income generated from providing short-term accommodation is subject to income tax under either Schedule D Case I (trading income) or Case IV (other income), depending on the nature and frequency of the rental activity.

  1. Trading Income (Case I): If you frequently provide short-term accommodation on a commercial basis with a view to realizing profits, you will generally be considered as carrying on a trade. The tax rate for trading income depends on your total income and personal circumstances, with the standard rate at 20% and the higher rate at 40%.
  2. Other Income (Case IV): This applies to income from providing accommodation on a once-off, casual, or occasional basis. The tax rate for other income is the same as trading income, with the standard rate at 20% and the higher rate at 40%.

Value Added Tax (VAT):

VAT applies to individuals carrying on a trade where the income exceeds or is likely to exceed €37,500 per annum. The VAT rate for short-term accommodation in Ireland is 13.5%.

Deductions and Write-offs:

Depending on whether your rental income is considered trading or other income, you may be eligible for certain deductions and write-offs:

Trading Income (Case I):

  1. Capital allowances: Capital expenditure on plant and machinery (fixtures and fittings) used for the trade can be written off at 12.5% per annum over 8 years.
  2. Deductible expenses: Expenses wholly and exclusively incurred for the purposes of the trade are deductible when calculating taxable profits.
  3. Pre-trading expenditure: Expenses incurred up to 3 years prior to the commencement of the trade are deductible if they would be deductible had they been incurred after the trade began.

Other Income (Case IV):

  1. Capital allowances are not available for other income.
  2. Incidental costs directly associated with providing short-term accommodation are deductible as per long-standing Revenue practice.

It's crucial to keep accurate records of your income and expenses to ensure proper tax compliance. Consult with a qualified tax professional to understand your specific tax obligations and to optimize your deductions.

By understanding the applicable taxes and available deductions, short-term rental hosts in Kilkenny can ensure they are meeting their tax obligations while maximizing their rental business's profitability.

Ireland-Wide Short-Term Rental Rules

In addition to the specific regulations in Kilkenny, short-term rental hosts must also comply with national laws and guidelines set by the Irish government. These Ireland-wide rules apply to all counties, including Kilkenny.

  • Fáilte Ireland Registration (Upcoming Requirement): A new online registration system for short-term lets is being developed and is expected to launch in 2024. Hosts will be required to register their properties annually with Fáilte Ireland and confirm they have the correct planning permission, if needed.
  1. Income Tax: Income generated from providing short-term accommodation is subject to income tax under either Schedule D Case I (trading income) or Case IV (other income), depending on the nature and frequency of the rental activity. The tax rate for both trading and other income is 20% for the standard rate and 40% for the higher rate.
  2. Value Added Tax (VAT): VAT applies to individuals carrying on a trade where the income exceeds or is likely to exceed €37,500 per annum. The VAT rate for short-term accommodation in Ireland is 13.5%.
  3. Fire Safety Regulations: All short-term rental properties must comply with fire safety regulations, including having working smoke alarms, carbon monoxide detectors, and fire extinguishers. Hosts must also provide guests with clear evacuation instructions.
  4. Building Regulations: Short-term rental properties must adhere to national building regulations, ensuring the property is safe, habitable, and energy-efficient.
  5. Insurance: While not legally required, it is highly recommended that short-term rental hosts obtain appropriate insurance coverage for their properties, such as homeowner's insurance, landlord insurance, or specialized short-term rental insurance.
  6. Data Protection: Hosts must comply with the General Data Protection Regulation (GDPR) when collecting and processing guest information.

By understanding and complying with these Ireland-wide short-term rental rules, hosts in Kilkenny can ensure they are operating legally and responsibly. It is essential to stay informed about any updates to national legislation and consult with local authorities and tax professionals for guidance.

Does Kilkenny Strictly Enforce STR Rules?

Based on discussions in online forums like Reddit and BiggerPockets, it appears that Kilkenny is not particularly Airbnb-friendly compared to other cities in Ireland. The county council has implemented strict regulations for short-term rentals, especially in designated Rent Pressure Zones (RPZs) like Kilkenny City and Piltown.

Despite these rules, some hosts continue to operate short-term rentals in Kilkenny without the necessary planning permissions or registrations. A recent analysis by two law students found that the vast majority of Airbnb listings in Ireland are illegal, with over 1,000 unauthorized listings in Dún Laoghaire alone. This suggests that enforcement of STR rules is lacking in many parts of the country.

However, Kilkenny County Council appears to be taking a more proactive approach to enforcement. The council's website clearly outlines the requirements for short-term lettings and provides forms for hosts to register their properties. Failure to comply with these regulations can result in significant fines and legal action.

On Reddit and BiggerPockets, many users express frustration with the strict rules and regulations surrounding short-term rentals in various cities. Some hosts feel that the rules are overly burdensome and discriminate based on factors like age and gender. Others argue that the regulations are necessary to protect local housing markets and prevent disturbances in residential areas.

In conclusion, while some hosts may operate short-term rentals in Kilkenny despite the rules, the county council appears to be more stringent in its enforcement compared to other Irish cities. Prospective Airbnb hosts in Kilkenny should carefully review the local regulations and obtain the necessary permissions before listing their properties to avoid potential fines and legal issues. Kilkenny is not particularly Airbnb-friendly, and hosts should be prepared to navigate a complex web of rules and requirements.

How to Start a Short-Term Rental Business in Kilkenny

Starting a short-term rental business in Kilkenny requires careful planning and compliance with local regulations. Follow these steps to successfully launch your venture:

  • Research local regulations: Familiarize yourself with Kilkenny's short-term rental regulations, including planning permission requirements, registration obligations, and tax implications. Consult the Kilkenny County Council website and seek guidance from local authorities if needed.
  • Determine your property's eligibility: Assess whether your property is located in a Rent Pressure Zone (RPZ) and if it qualifies for the 90-day exemption as your principal private residence. If your property is not your primary residence or exceeds the 90-day limit, you will need to apply for change of use planning permission.
  • Obtain necessary permissions: Apply for planning permission from the Kilkenny County Council if required. Prepare a comprehensive application, including detailed plans, and be prepared to address any concerns or objections raised during the process.
  • Register with Fáilte Ireland (upcoming requirement): Once the new online registration system is launched in 2024, register your property annually with Fáilte Ireland and obtain a valid registration number. This will be necessary to list your property on booking platforms.
  • Comply with safety regulations: Ensure your property meets fire safety regulations, including installing smoke alarms, carbon monoxide detectors, and fire extinguishers. Provide guests with clear evacuation instructions and maintain a safe, habitable environment.
  • Obtain appropriate insurance: Protect your investment by securing appropriate insurance coverage, such as homeowner's insurance, landlord insurance, or specialized short-term rental insurance. This will safeguard you against potential damages, accidents, or liability claims.
  • Create a compelling listing: Craft an attractive and informative listing on popular booking platforms like Airbnb and VRBO. Include high-quality photos, detailed descriptions, and highlight unique features or amenities. Set competitive prices based on market research and seasonality.
  • Develop a guest communication strategy: Establish clear communication channels with guests, providing prompt responses to inquiries, and sharing essential information like check-in instructions, house rules, and local recommendations. Consider using automated messaging tools to streamline the process.
  • Implement a cleaning and maintenance plan: Maintain high standards of cleanliness and upkeep to ensure guest satisfaction and positive reviews. Hire a reliable cleaning service or develop a thorough cleaning checklist. Address maintenance issues promptly to minimize disruptions.
  • Monitor your business performance: Regularly review your booking data, guest feedback, and financial metrics to identify areas for improvement. Adapt your pricing strategy, marketing efforts, and guest experience based on insights gained from performance analysis.

Tips for success:

  • Stay informed about changes in local regulations and industry trends
  • Provide exceptional guest experiences to encourage positive reviews and repeat bookings
  • Leverage technology to automate tasks and improve efficiency
  • Network with other short-term rental hosts in Kilkenny to share knowledge and best practices
  • Continuously invest in property upgrades and amenities to stay competitive

By following these steps and tips, you can successfully navigate the regulatory landscape and establish a thriving short-term rental business in Kilkenny.

Who to Contact in Kilkenny about Short-Term Rental Regulations and Zoning?

For inquiries about short-term rental regulations and zoning in Kilkenny, property owners should contact the following departments:

Short Term Letting Section, Planning Department
County Hall, John Street, Kilkenny, R95 A39T
Email: planning@kilkennycoco.ie
Phone: 056 7794010

The Planning Department can provide guidance on planning permission requirements, exemptions, and the registration process for short-term rentals in Rent Pressure Zones.

Kilkenny County Council - Housing Department
County Hall, John Street, Kilkenny, R95 A39T
Email: housing@kilkennycoco.ie
Phone: 056 7794900

The Housing Department can offer information on the impact of short-term rentals on the local housing market and the council's efforts to address housing demand.

Kilkenny County Council - Finance Department
County Hall, John Street, Kilkenny, R95 A39T
Email: finance@kilkennycoco.ie
Phone: 056 7794000

The Finance Department can assist with questions related to local property taxes and rates for short-term rental properties.

In addition to contacting local authorities, short-term rental hosts in Kilkenny may find support and information through the following online communities and resources:

Airbnb Community Center - Ireland: https://community.withairbnb.com/t5/Ireland/ct-p/Ireland

This forum allows Airbnb hosts in Ireland to connect, share experiences, and discuss local regulations and best practices.

Irish Self Catering Federation: https://www.iscf.ie/

The ISCF is a national organization representing the self-catering sector in Ireland, providing resources and support for property owners.

Kilkenny Tourism: https://visitkilkenny.ie/

The official tourism website for Kilkenny offers insights into the local tourism market and opportunities for short-term rental hosts.

By engaging with these local authorities and online communities, short-term rental hosts in Kilkenny can stay informed about regulations, zoning, and best practices to ensure compliance and success in their rental businesses.

What Do Airbnb Hosts in Kilkenny on Reddit and Bigger Pockets Think about Local Regulations?

Discussions on Reddit and BiggerPockets provide insights into how Airbnb hosts in Kilkenny and the surrounding areas feel about local short-term rental regulations:

Lack of long-term rentals: In a Reddit thread titled "Airbnbs outstrip long-term rental homes in every county," users discuss the impact of short-term rentals on the housing market. One commenter notes, "We are having to buy a new build in Kilkenny because there were just no rentals at all. Then go on Airbnb and see how many there are..." This suggests that some residents feel Airbnb is contributing to the shortage of long-term rental properties in Kilkenny.

Enforcement of regulations: In the same Reddit thread, users discuss the enforcement of short-term rental regulations. One commenter quotes an article stating that local authorities must use the courts to enforce planning permission requirements, which can be a "slow and cumbersome process." This indicates that some hosts may be operating without the necessary permissions due to a lack of strict enforcement.

Impact on local communities: A Reddit post titled "Spotted these anti-AirBnB tourist posters in Dublin city" highlights concerns about the impact of short-term rentals on local communities. While not specific to Kilkenny, the discussion is relevant to the broader Irish context. One commenter suggests that instead of banning Airbnb entirely, regulations should focus on limiting or taxing short-term rentals that are not owner-occupied, as these are the properties that can cause issues for local residents.

Challenges with guests: On BiggerPockets, a forum thread titled "What AirBnB instant book guest requirements do you have?" reveals some hosts' experiences with problematic guests. While not specific to Kilkenny, the discussion highlights the importance of setting clear guest requirements and expectations to minimize issues. One host mentions having "bad experiences early on with people who do not have AirBnB reviews," which led them to be more cautious about accepting guests without prior reviews.

These online discussions suggest that while some Airbnb hosts in Kilkenny may be operating successfully, others are concerned about the impact of short-term rentals on the local housing market and community. The lack of strict enforcement of regulations and the potential for problematic guests are also points of concern for some hosts. As Kilkenny continues to grapple with the growth of short-term rentals, it will be important for local authorities to balance the needs of hosts, residents, and tourists alike.

Disclaimer: While we here at BNBCalc strive to keep all of our city regulation guides updated and accurate with all the latest local laws, we still do not suggest using them as your sole or primary source for local regulations. We also do not recommend you rely on the third-party sources we link to or reference, and we are not responsible for any of the information on these third-party sites. These guides are for entertainment purposes only and only provide basic information and should not be considered as legal advice.

We highly recommend directly contacting the responsible parties for each city and hearing what their officials have to say. Ultimately, it's your responsibility as an investor to ensure you fully comply with the local laws, and it's best to speak with professionals before making an investment decision.

⚡️
Reveal your property’s rental profitability

Buy this property and list it on Airbnb.