Bay County, FL

Panama City Beach, FL short-term rental registration

Renting short term in Panama City Beach is legal, and the city has built a compliance chain around it rather than a ban. Ordinance 1632, in force since February 1, 2024, makes a Vacation Rental Certificate compulsory, and the city only issues it once the property has passed a full life safety inspection. Before that inspection you need three things already in hand: the state licence, a registration with the Tourist Development Council and a city business tax receipt. It is the most procedural regime on the Panhandle, and also the most explicit: every step is published.[6]

Every rule below links to the official source it comes from, verified September 20, 2026.

Can you rent short term in Panama City Beach?

Register before you list

What you apply for: Vacation Rental Certificate

Seasonal homes
11,177
Housing units
21,204
Residents
18,971

U.S. Census Bureau, 2024 ACS 5-year estimates

  • City ruleRegistration required
  • City fee$75
  • Tax on each stay12%
  • Seasonal homes527 per 1,000

Panama City Beach short-term rental rules

Panama City Beach allows short-term rentals but requires a Vacation Rental Certificate for every one, under Ordinance 1632, in force since February 1, 2024. The city issues the certificate only after the property passes a full life safety inspection, and it invoices $75 for that inspection once your registration has been reviewed. Three documents have to be in hand before you apply: a Florida DBPR licence, proof of registration with the Tourist Development Council, and a valid city business tax receipt, plus a pool inspection where there is a pool. Signage visible from outside the property must carry an emergency contact telephone list and the certificate number. Registration is annual: returning owners re-register on the city portal and are re-inspected, for $150 plus $75 where a re-inspection is needed.[6]

What Panama City Beach asks of you

  • Ordinance 1632 has required a valid Vacation Rental Certificate for every vacation rental in the city since February 1, 2024.[6]

  • The certificate is issued after a full life safety inspection, and the city invoices $75 for that inspection once your registration has been reviewed.[6]

  • You apply with proof of your DBPR licence, proof of registration with the Tourist Development Council, a valid city business tax receipt and, where there is a pool, a pool inspection.[6]

  • Signage visible from outside the house or unit must carry an emergency contact telephone list and the certificate number issued once the inspection passes.[6]

  • Registration is annual: returning owners re-register on the city portal and are re-inspected, for a $150 re-registration fee plus $75 if a re-inspection is needed.[6]

Apply on the Panama City Beach site

What Florida asks wherever you host

These rules apply at this address whatever the city decides.

  • Florida licenses vacation rentals itself. A house, townhouse or unit in a building of four units or fewer is licensed as a dwelling, a unit in a condominium or cooperative as a condominium, and the licence costs $150 plus $10 per rental unit plus a $10 hospitality education fee.[2]

  • A city cannot ban vacation rentals, nor regulate how long or how often you rent, unless its ordinance was already on the books on June 1, 2011. Ordinances adopted before that date survive untouched, which is why two neighbouring Florida towns can sit at opposite ends of the scale.[1]

  • State sales tax is due on every rental of six months or less. A bona fide written lease for more than six months of continuous residence is exempt, and so is the seventh month onward once a guest has stayed and paid for six.[3]

All Florida short-term rental laws

What a guest pays on top of your nightly rate in Panama City Beach

Each layer is set by a different authority, and not all of them are collected by the platform.

Short-term rental tax layers in Panama City Beach
LayerRateRemitted to
Florida state sales tax[3]6%The state revenue department
Bay County discretionary sales surtax[5]1%The state revenue department
Bay County Tourist Development Tax[4]5%The county
Total on a taxable stay12%

Bay County's 5% tourist development tax only applies in the beach ZIP codes, including 32407, 32408 and 32413, and it is remitted straight to the county. The 6% state tax and the 1% surtax go to the Department of Revenue instead, on a separate return.[4]

How short-term rental taxes work for US hosts

What the census counts

How much of Panama City Beach is already a second home

The Census Bureau counts 11,177 of Panama City Beach's 21,204 homes as vacant for seasonal, recreational or occasional use — 527 out of every 1,000. That ranks Panama City Beach 1st of the 33 Florida cities on this site for the share of its housing stock kept for part-year use.

Rank in the state
1st of 33
Share of housing
527 per 1,000
Median home value
$441,300

U.S. Census Bureau, 2024 ACS 5-year estimates, tables B25004, B25001, B01003 and B25077.

Nearby and comparable

Where Panama City Beach sits among its neighbors

The state hubEvery Florida city on this site, in one tableState law, the tax stack and every city we cover in Florida, with what each one asks of a host.Open the Florida hub

FAQ

Panama City Beach short-term rental questions

Do I need a city certificate as well as a state licence in Panama City Beach?

Yes, and in that order. The city asks for proof of the DBPR licence as part of the application for its own Vacation Rental Certificate, so the state licence comes first.[6]

What does the inspection cover?

It is a full life safety inspection of the unit, with a separate pool inspection where the property has one. The city invoices $75 for it after reviewing your registration.[6]

How much tax is added to a stay in Panama City Beach?

Twelve percent in the beach ZIP codes: 6% state sales tax, 1% Bay County surtax and the 5% county tourist development tax, which is remitted directly to Bay County.[4]
Read nextHow to start an AirbnbThe six steps in order, starting with the permit check.Read the guide

Sources

  1. Florida Statutes § 509.032(7), Duties — preemption of vacation rental regulation, The Florida Legislature, read on September 20, 2026
  2. Guide to Vacation Rentals and Timeshare Projects, Division of Hotels and Restaurants, Florida Department of Business and Professional Regulation, read on September 20, 2026
  3. Sales and Use Tax on Rental of Living or Sleeping Accommodations (GT-800034, R. 10/25), Florida Department of Revenue, read on September 20, 2026
  4. Local Option Transient Rental Tax Rates (DR-15TDT, R. 03/25), Florida Department of Revenue, read on September 20, 2026
  5. Discretionary Sales Surtax Information for Calendar Year 2026 (DR-15DSS), Florida Department of Revenue, read on September 20, 2026
  6. Short-Term Rentals, Fire Department inspections, City of Panama City Beach, read on September 20, 2026

This page is not legal advice. It summarizes the official sources listed on this page as they read on September 20, 2026. Rules can change after that date, so check with the issuing office before you apply or publish a listing.

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