Starting a Short-Term Rental in Spokane: City Permit $200 or $300, Life Safety Form and the Business License

If you plan to rent a house, condo, or apartment in Spokane for stays under 30 nights, you need a city permit, an annual Life Safety Compliance form, and a business license. Spokane's rules sit on top of Washington state requirements for liability insurance and carbon monoxide alarms. This guide covers the order we recommend, the fees as they appear in the city code, and the mistakes that catch first-time hosts.

Disclaimer: This article is informational content, not legal or tax advice. Rules and fees change. The city's figures below come from the 2023 amendments to SMC 17C.316, so confirm current amounts with the City of Spokane before you pay anything. For lease questions, zoning disputes, or tax planning, talk with a qualified attorney or CPA.

What You Need Before You Start

Gather these items before you open any application. Nearly every step asks for at least one of them.

• Property details: The street address, parcel information, and the number of rentable units. The city issues one permit per rentable unit, so a duplex with two rentable units needs two permits.
• Owner information: Your legal name, mailing address, email, and phone number. If you plan to use an LLC, have its formation documents ready.
• A registered agent: Washington requires every business to designate one. The agent must have a physical street address in Washington. PO Boxes and private mailbox addresses are not accepted.
• Trade name, if any: If you list under a brand name such as Riverside Stays rather than your legal name, you will register that trade name.
• Insurance: A policy that meets the $1,000,000 liability requirement for short-term stays, with written confirmation from your insurer.
• Safety equipment: Working smoke alarms and carbon monoxide alarms for the unit, plus a plan to test them.
• A payment method: Fees are due to the city, the Department of Revenue, and the Secretary of State at different points.

Step 1: Confirm the Unit Qualifies

Under Spokane Municipal Code (SMC) 17C.316, short-term rentals are allowed in every zone that permits residential use. Zoning is only one layer, though. Your lease, HOA covenants, and condominium rules can prohibit short-term rentals even when the city allows them. Read those documents before you apply. A city permit will not help you if your lease bars subletting.

Next, count your rentable units. Each one needs its own permit. If you rent a basement apartment separately from the main house, the city may treat it as a separate rentable unit. Confirm the count with city staff before you submit, because correcting a unit count after filing takes extra time and paperwork.

Step 2: Decide Whether to Form an LLC

You can run a short-term rental as a sole proprietor under your own name. Sole proprietors and general partnerships do not file with the Secretary of State, so there is no state filing for that structure. Many owners form a limited liability company (LLC) anyway, because it can separate personal assets from rental activity. Whether an LLC makes sense for you is a question for an attorney or CPA.

If you form an LLC, file a Certificate of Formation with Initial Report through the Corporations and Charities Filing System (CCFS) at https://ccfs.sos.wa.gov/. Key figures:

• Filing fee: $180.
• Name: It must include Limited Liability Company, Limited Liability Co., L.L.C., or LLC, and it must be distinguishable from every other business name on record. Names containing words such as bank, trust, or cooperative are prohibited.
• Expedited service: $100 per entity, generally processed within three business days, available online at checkout.
• Annual report: $70 each year, due by the last day of the month in which the LLC was formed. You may file up to 180 days early. A late filing carries a delinquency fee, for a total of $95.

The Secretary of State's general page is at https://www.sos.wa.gov/corporations-charities. Form the LLC before you register with the Business Licensing Service, because an LLC must be on file with the Secretary of State before you submit the state business license application.

Step 3: Register With the Business Licensing Service

Washington does have a general business license. The Business Licensing Service (BLS), inside the Department of Revenue, issues your 9-digit Unified Business Identifier (UBI) and handles trade names, state endorsements, and city endorsements in one application. The Spokane city business license is requested through this same application as a city endorsement, so you do not file a separate city business license form. Confirm the exact endorsement with the city before you submit.

You generally need a BLS license if any of these apply to you: you operate under a name other than your full legal name, you need a city endorsement, you plan to hire employees within 90 days, you sell anything subject to sales tax, you have gross income of $12,000 per year or more, or you owe any tax or fee to the Department of Revenue. A short-term rental business usually meets at least one of these tests.

Costs and timing:

• Processing fee: $50 to open a business, plus separate endorsement fees. Confirm the endorsement fee for Spokane on the state and city pages before you pay.
• Online timing: About 10 business days, plus 2 to 3 weeks more when city or state endorsements need approval. Plan for roughly 4 to 5 weeks for an online application with a city endorsement.
• Mailed timing: Up to six weeks. Apply online unless you have a specific reason not to.

Apply at https://dor.wa.gov/open-business/apply-business-license. If you use a name other than your legal name, register it as a trade name at https://dor.wa.gov/manage-business/grow-business/register-trade-names. Each trade name costs $5. Note that trade names are registered with the BLS, not the Secretary of State or the county.

Step 4: Apply for the Spokane Short-Term Rental Permit

The city accepts applications through its online permitting portal, which runs on Accela. Search for the short-term rental permit in the portal, create an account, and enter each rentable unit separately. The portal will ask for property, owner, and contact details, and you will pay the fee at the end of the application.

The fees below come from SMC 17C.316, as amended on July 10, 2023 and effective September 1, 2023:

Action	Residential zones	All other zones that allow the use
New permit (per rentable unit)	$200	$300
Renewal (per rentable unit)	$100	$150

These are 2023 figures. The city may have changed them for 2026, so check the amount shown in the portal and on the city's permit page before you submit. Do not budget from this article alone.

Tips for a clean application:

• Use the exact legal name and address that appear on your deed or lease, so the permit matches your BLS registration.
• Keep a copy of every confirmation page and receipt. You will need them when you renew.
• Ask the city whether the permit and business license should be submitted in a particular order. The code does not settle that sequence in the summary available here.

Step 5: Complete the Annual Life Safety Compliance Form

SMC 17C.316 requires an annual Life Safety Compliance form. Treat it as a recurring obligation, not a one-time task. The form is part of keeping the permit active, so missing it creates the same risk as operating without a permit. Put the due date on the same calendar as your LLC annual report and your BLS renewal reminders.

Complete the form for each rentable unit. Answers should describe what is actually installed and working in the unit on the day you sign. Do not check a box for an alarm or a fire safety item you have not confirmed. Ask the city for the current form version and its due date, because this article does not list a specific deadline.

Step 6: Carry the Required Liability Insurance

Washington's short-term rental law, chapter 64.37 RCW, applies to rentals of fewer than 30 nights. For those stays, you need primary liability insurance of at least $1,000,000, or you must book each stay through a platform that provides equal or greater primary liability coverage. Ask your insurance agent in writing whether your policy meets this requirement for short-term use. Get the answer before you accept your first booking.

Many standard homeowner and landlord policies exclude or limit business use. Tell your insurer that you plan to rent the unit to short-term guests. A policy that does not disclose the rental may not pay a claim, even if you carry coverage. Ask whether coverage comes from your own policy, a separate short-term rental policy, or a platform program, and get the terms in writing. Insurance premiums vary by property and insurer, so get quotes rather than relying on an estimate.

Step 7: Install Carbon Monoxide Alarms and Check Basic Safety

Washington requires carbon monoxide alarms under RCW 19.27.530. Install them where the statute and the city require for your unit, and follow the manufacturer's placement instructions. The requirement depends on the features of your home, such as fuel-burning appliances and attached garages, so confirm with the city's building staff which alarms your unit needs.

Build a simple routine around the alarms:

• Test every alarm before each guest arrives, and log the date and initials.
• Replace batteries on the manufacturer's schedule, and replace alarms that have passed their listed service life.
• Post a clear guest notice about the location of exits and alarms.
• Walk through the unit before guests arrive to confirm nothing blocks an exit.

The Life Safety Compliance form asks about the unit's safety features, so the routine above also helps you answer that form accurately.

Step 8: Post the Permit and Set Up Your Taxes

SMC 17C.316 requires the permit to be posted on site. Place it where guests can see it, such as near the entry or in a guest binder with the house rules. Ask each booking platform whether it wants the permit number in your listing, and follow its instructions.

Washington has no corporate income tax and no personal income tax on wages. Instead, most businesses pay the state business and occupation (B&O) tax, a gross receipts tax with more than 50 activity classifications and no deduction for labor, materials, or other costs. Rental income is typically reported under B&O, but confirm your classification with the Department of Revenue. Spokane is not on the Association of Washington Cities list of cities that levy a local B&O tax, but local taxes can change, so confirm with the city before you file.

Sales tax is a separate question. The state sales tax rate is 6.5%, and local rates can add to it. Short-term stays may be subject to sales tax and to local lodging taxes. Confirm with the Department of Revenue whether your bookings are taxable and how to collect and report the tax. Your sales tax permit comes through the same BLS application, at https://dor.wa.gov/open-business/apply-business-license.

Quick Fee Reference

Item	Cost	Agency	How often
Short-term rental permit, residential zones	$200 new, $100 renewal	City of Spokane	Per rentable unit (2023 figures; confirm)
Short-term rental permit, other zones	$300 new, $150 renewal	City of Spokane	Per rentable unit (2023 figures; confirm)
Life Safety Compliance form	Confirm with the city	City of Spokane	Annually
LLC Certificate of Formation	$180	Secretary of State	One time
LLC annual report	$70 ($95 if late)	Secretary of State	Annually
Business license processing	$50, plus endorsement fees	Department of Revenue	One time to open
Trade name registration	$5 per trade name	Department of Revenue	Per trade name
Liability insurance	Varies by insurer	Private insurer	Ongoing

Expected Results

Completing these steps may help you operate on the right side of Spokane's rules and reduce the chance of an enforcement letter. The city began sending enforcement letters in January 2024, and operators who receive one have been given a 30-day grace period to come into compliance. Having the permit, insurance, and BLS registration in place before you accept bookings is the most direct way to avoid that situation.

Timelines will vary. An online BLS application with a city endorsement may take roughly four to five weeks, based on the processing ranges the state publishes. The city permit timing is not published in this guide, so ask the city for its current processing time. Plan your listing launch date around the slowest step, not the fastest.

These steps do not guarantee permit approval, occupancy, or rental income. The city can request additional documents, and rules can change between the time you read this article and the time you apply.

Common Mistakes to Avoid

• Filing one permit for a multi-unit property. The permit is per rentable unit. A property with three rentable units needs three permits.
• Listing before the permit is issued. Accepting a booking before you have the permit exposes you to enforcement and may require you to cancel guests.
• Ignoring an enforcement letter. The 30-day grace period is short. Respond to the letter as soon as it arrives, and keep a record of every step you take.
• Missing the annual cycle. A late LLC annual report costs $95 in total. A missed Life Safety Compliance form puts the permit itself at risk.
• Assuming your homeowner policy covers guests. Get written confirmation from your insurer that the policy meets the $1,000,000 requirement for short-term stays.
• Using a PO Box for the registered agent. Washington requires a physical street address in the state. A PO Box filing can be rejected or cause a compliance problem later.
• Skipping the trade name registration. If your listing uses a brand name, register it with the Business Licensing Service. The fee is $5 per trade name.
• Mismatching names across filings. Use the same legal name and address on the permit, the BLS application, the LLC filing, and your insurance policy.

Next Steps

Start with the lease and zoning check, then form the LLC if you want one, then register with the Business Licensing Service and request the city endorsement. Apply for the Spokane permit for each rentable unit, get your insurance in writing, and install the carbon monoxide alarms before the first guest arrives. Calendar the annual Life Safety Compliance form, the LLC annual report, and the permit renewal from day one.

Before you commit money to a property, confirm the current city fees, the Life Safety form version, and the endorsement fee with the City of Spokane and the Department of Revenue. For anything involving your lease, a mortgage, or a complicated ownership structure, talk with a qualified attorney or CPA.