# Short-term rental rules in Panama City Beach, FL - Status: **REGULATED** - Last verified: 2026-07-18 (every legal claim checked against the official sources listed below) - Canonical page: https://strwatch.ai/panama-city-beach-fl/ ## Summary Panama City Beach does not ban or cap the frequency/duration of short-term rentals (Florida preempts that under Fla. Stat. § 509.032(7)(b), and the city has no pre-June-2011 grandfathered ban), but every whole-unit vacation rental must hold a City Vacation Rental Certificate under Ordinance 1632 (adopted Sept. 28, 2023, codified at City Code Ch. 8, Art. IX, § 8-183). To get and keep a Certificate a host needs: a Florida DBPR vacation rental license, Bay County Tourist Development Tax registration, a City Business Tax Receipt (1% of gross rental receipts, $50/year minimum), a pool inspection if applicable, and a passed fire/life-safety inspection, plus exterior signage showing the certificate number and 24/7 emergency contact. As posted on the city's official program page, new registration costs $250, re-inspection is $75, a missed/denied inspection (lock-out) is $100, and annual renewal is $150 (applications due by October 1 each year; initial applications were due December 31, 2023). Maximum occupancy is set by formula in the ordinance -- 150 sq ft of habitable space per person for one- and two-family dwellings, 200 sq ft per person for other vacation rentals (reducible to 150 with a Fire Inspector life-safety sign-off) -- not a flat number. Violations run $500 (1st), $1,000 (2nd), and $1,000 plus up to a 12-month certificate revocation (3rd+ within 12 months). On top of registration, rentals owe Florida's 6% state transient rental sales tax, Bay County's 1% discretionary sales surtax, and Bay County's 5% Tourist Development Tax (the TDT applies only within specific PCB-area ZIP codes: 32407, 32408, 32413, plus 32401/32404/32405/32410). Airbnb/VRBO collect and remit the state 6%+1% via Florida's marketplace-facilitator law, but Bay County has no agreement with any platform, so hosts must register and remit the 5% TDT themselves. ## At a glance - Unhosted whole-home rental: Conditional - Hosted rental (host present): Conditional - Primary residence required: No - Guest cap: none verified - Rules apply to stays under: 30 days Notes: Ordinance 1632's whereas clauses state that 'transient residential rental owners may live elsewhere' -- there is no owner-occupancy/primary-residence requirement. The certificate requirement applies to any unit rented to guests more than three times per calendar year for periods under 30 days (or 1 calendar month, whichever is less), or advertised/held out as regularly rented -- this is the 'vacation rental'/'transient public lodging establishment' definition in Sec. 8-183(a). Maximum occupancy is not a single number: it is 150 sq ft of habitable gross floor area per person for one- and two-family dwellings licensed as public lodging, or 200 sq ft per person for other vacation rentals (reducible to 150 sq ft/person if the City Fire Inspector confirms NFPA 101 egress compliance), rounded up to the nearest whole person. ## Requirements ### Vacation Rental Certificate (registration) (registration) - Authority: City of Panama City Beach (Fire Department / Code Enforcement) - Cost: $250 new registration; $150 annual renewal - Renewal: Annual; renewal applications due by October 1 each year (or at time of ownership transfer). Initial applications after adoption were due by December 31, 2023. - Official source: https://www.pcbfl.gov/295/Short-Term-Rentals - Notes: Legal basis is Ordinance 1632 (adopted Sept. 28, 2023; codified at City Code Ch. 8, Art. IX, § 8-183), full text at https://fl-panamacitybeach.civicplus.com/DocumentCenter/View/1078/Ordinance-1632-Transient-Residential-Rental-Requirements-PDF. The ordinance itself states fees are 'to be determined by Resolution of the City' -- the dollar figures here are the current schedule as published on the city's official program page. Each dwelling unit needs its own certificate; it is unlawful to rent or allow occupancy without one. ### Fire / life-safety inspection (inspection) - Authority: Panama City Beach Fire Department - Cost: $75 re-inspection fee; $100 lock-out/no-show fee (if inspector is denied access at a scheduled appointment) - Renewal: Interior inspections are at the Fire Inspector's discretion; required for initial certificate and at renewal. Documented violations must be corrected and re-inspected within 30 calendar days. - Official source: https://fl-panamacitybeach.civicplus.com/DocumentCenter/View/1078/Ordinance-1632-Transient-Residential-Rental-Requirements-PDF - Notes: Sec. 8-183(e) of the City Code. Failure to admit an inspector after 3 attempts triggers a notice of failure of inspection; failure to respond to a 4th attempt can suspend/revoke the certificate. Fee dollar amounts confirmed on https://www.pcbfl.gov/295/Short-Term-Rentals. ### DBPR Vacation Rental License (license) - Authority: Florida Department of Business and Professional Regulation (DBPR), Division of Hotels and Restaurants - Cost: $230/year for a single-unit license ($170 license fee + $50 application fee + $10 Hospitality Education Program fee); higher tiers for Group (2-25 units, $180 base) and Collective licenses ($150 base + $10/unit + $10 HEP) - Renewal: Annual, on a staggered renewal schedule that varies by DBPR licensing district - Official source: https://www2.myfloridalicense.com/hotels-restaurants/licensing/lodging-fees/ - Notes: Required whenever a whole unit is rented more than 3 times per calendar year for stays under 30 days, or is advertised/held out as regularly rented to guests (Fla. Stat. Ch. 509). Renting individual rooms only (host stays and rents a room, not the whole unit) is not classified as public lodging and does not require this license, per https://www2.myfloridalicense.com/hotels-restaurants/licensing/vrtsp-guide/. Could not independently confirm the exact renewal month for Bay County's DBPR licensing district -- see needs_review. ### Bay County Tourist Development Tax registration (registration) - Authority: Bay County Clerk of Court & Comptroller - Cost: not verified - Renewal: One-time account registration (via GovOS/baytouristtax.com), followed by monthly tax return filings - Official source: https://www.baycoclerk.com/clerk-services/tourist-development-tax/ - Notes: No separate registration fee was identified on the official page; the ongoing obligation is the 5% tax itself (see taxes[]). Proof of this registration is one of the required Vacation Rental Certificate application documents under Sec. 8-183(c)(4). ### City of Panama City Beach Business Tax Receipt (BTR) (license) - Authority: City of Panama City Beach Business License Department - Cost: 1% of gross rental receipts, $50/year minimum - Renewal: Annual; registration year runs March 1 through the last day of February. Monthly returns due by the 1st of the following month (3% discount if paid by the 10th; 8%/month penalty if delinquent). - Official source: https://www.pcbfl.gov/216/Business-License - Notes: Owners using Airbnb/VRBO/HomeAway are personally responsible for reporting and remitting this 1% BTR to the City. Proof of a current BTR is required for the Vacation Rental Certificate under Sec. 8-183(c)(3). ### Pool inspection (if property has a pool) (inspection) - Authority: City of Panama City Beach (per Ordinance 1632) - Cost: not verified - Renewal: Required before certificate issuance if a pool is present; ongoing licensing/inspection compliance thereafter - Official source: https://fl-panamacitybeach.civicplus.com/DocumentCenter/View/1078/Ordinance-1632-Transient-Residential-Rental-Requirements-PDF - Notes: Sec. 8-183(c)(5): applicant must show 'evidence that any pool located on the property is properly licensed and inspected.' No specific fee amount was found in the ordinance or on the city's program page. ## Taxes - **Florida state transient rental sales tax**: 6% — applies to Rental charges for living/sleeping accommodations rented for 6 months or less (Fla. Stat. § 212.03); platform collects: yes. Source: https://www.leg.state.fl.us/statutes/index.cfm?App_mode=Display_Statute&URL=0200-0299%2F0212%2FSections%2F0212.03.html - **Bay County discretionary sales surtax**: 1% — applies to Same taxable base as the state transient rental sales tax, for rentals located in Bay County; platform collects: yes. Source: https://floridarevenue.com/Forms_library/current/dr15dss.pdf - **Bay County Tourist Development Tax (bed tax)**: 5% — applies to Nightly/weekly/monthly rental charges, cleaning fees, resort/reservation fees, and required guest fees, for accommodations within Bay County's special taxing jurisdiction -- ZIP codes 32401, 32404, 32405, 32407, 32408, 32410, and the Bay County portion of 32413 (this covers all of Panama City Beach); platform collects: no. Source: https://www.baycoclerk.com/clerk-services/tourist-development-tax/ ## Enforcement - Penalties: Civil penalties for Vacation Rental Certificate violations: $500 for a first violation, $1,000 for a second violation, and $1,000 plus possible revocation/suspension of the Vacation Rental Certificate for up to 12 months for a third or subsequent violation within a 12-month period (Ordinance 1632, City Code § 8-183(h)(2)). Non-compliant/correctable violations first get a Notice of Violation warning with a correction period before a citation issues. A violator who does not contest a civil penalty gets a 50% reduction if paid directly to the City Clerk. See https://fl-panamacitybeach.civicplus.com/DocumentCenter/View/1078/Ordinance-1632-Transient-Residential-Rental-Requirements-PDF. - Platform liability: The ordinance does not impose direct fines on hosting platforms. Instead, it requires the property owner to ensure the Vacation Rental Certificate Number is displayed on every listing on any hosting platform (defined broadly to include Airbnb, VRBO, Booking.com, Expedia, Vacasa, and Homestay.com) -- failure is a violation attributable to the owner, not the platform (§ 8-183(g)(6)). - Notes: Warnings for non-compliance may be copied to DBPR, the Florida Department of Revenue, the Bay County Clerk of Court, and the Bay County Property Appraiser. A rental that fails safety requirements is presumed unfit for human occupancy until corrected. The City may also pursue injunctive relief, liens, and other civil/criminal penalties available by law. ## Not yet verified (we say so instead of guessing) - The Panama City Beach program page and several secondary sources describe the certificate requirement as taking effect February 1, 2024, but Ordinance 1632's own text says it 'take[s] effect immediately upon passage' (September 28, 2023) with initial applications due by December 31, 2023. Could not fully reconcile whether Feb 1, 2024 refers to the start of active enforcement/citations versus the ordinance's legal effective date -- both dates are recorded here rather than asserting one as authoritative. - Could not independently confirm the exact DBPR license renewal month/district for Bay County specifically; the DBPR guide lists renewal dates by district (e.g., June 1 for 'Districts 5-6, Jacksonville/Panama City') but the district-to-city mapping in the fetched source looked internally inconsistent and was not cross-checked against DBPR's official district map. - Did not independently verify whether Panama City Beach's Land Development Code (zoning code) imposes additional restrictions on vacation rentals by zoning district, beyond the citywide registration/inspection scheme in Ordinance 1632 -- only the vacation-rental-specific ordinance was reviewed, not the full zoning code. ## Sources - Short-Term Rentals | Panama City Beach, FL (official program page: requirements, fee schedule) (official, accessed 2026-07-18): https://www.pcbfl.gov/295/Short-Term-Rentals - Ordinance 1632 - Transient Residential Rental Requirements (full PDF text, City Code Ch. 8, Art. IX, § 8-183) (official, accessed 2026-07-18): https://fl-panamacitybeach.civicplus.com/DocumentCenter/View/1078/Ordinance-1632-Transient-Residential-Rental-Requirements-PDF - Ordinances | City of Panama City Beach, FL (official, accessed 2026-07-18): https://www.pcbfl.gov/188/Ordinances - The 2025 Florida Statutes - Section 509.032, Florida Statutes (local preemption, § (7)(b)) (official, accessed 2026-07-18): https://www.leg.state.fl.us/Statutes/index.cfm?App_mode=Display_Statute&URL=0500-0599%2F0509%2FSections%2F0509.032.html - The 2025 Florida Statutes - Section 212.03, Florida Statutes (transient rentals tax; rate 6%) (official, accessed 2026-07-18): https://www.leg.state.fl.us/statutes/index.cfm?App_mode=Display_Statute&URL=0200-0299%2F0212%2FSections%2F0212.03.html - Florida Dept. of Revenue - DR-15TDT: Local Option Transient Rental Tax Rates (Bay County = 5.0%, county-collected) (official, accessed 2026-07-18): https://floridarevenue.com/Forms_library/current/dr15tdt.pdf - Florida Dept. of Revenue - DR-15DSS: Discretionary Sales Surtax Information (Bay County = 1.0% total) (official, accessed 2026-07-18): https://floridarevenue.com/Forms_library/current/dr15dss.pdf - Bay County Clerk of Court & Comptroller - Tourist Development Tax (official, accessed 2026-07-18): https://www.baycoclerk.com/clerk-services/tourist-development-tax/ - Bay County, Florida Tourist Development Tax Remittance (official GovOS filing portal, linked from baycoclerk.com) (official, accessed 2026-07-18): https://baytouristtax.com/ - Bay County > Frequently Asked Questions (official MuniRevs tax portal FAQ - confirms no Airbnb/VRBO TDT collection agreement) (official, accessed 2026-07-18): https://baycounty.munirevs.com/faq/ - DBPR - Hotels and Restaurants - Lodging Fees (vacation rental license fee schedule) (official, accessed 2026-07-18): https://www2.myfloridalicense.com/hotels-restaurants/licensing/lodging-fees/ - DBPR - Guide to Vacation Rentals and Timeshare Projects (who needs a license; definitions; renewal districts) (official, accessed 2026-07-18): https://www2.myfloridalicense.com/hotels-restaurants/licensing/vrtsp-guide/ - Business Registration | City of Panama City Beach, FL (Business Tax Receipt requirements and fees) (official, accessed 2026-07-18): https://www.pcbfl.gov/216/Business-License - Florida Senate - Senate Bill 280 (2024), by version (vetoed vacation-rental preemption/registry bill) (official, accessed 2026-07-18): https://www.flsenate.gov/Session/Bill/2024/280/ByVersion - Governor Ron DeSantis Vetoes One Bill (SB 280) | Executive Office of the Governor (news, accessed 2026-07-18): https://www.flgov.com/eog/news/press/2024/governor-ron-desantis-vetoes-one-bill-0 - Florida Senate - Senate Bill 658 (2026) (vacation rental water-safety bill; died in House Messages 3/13/2026) (official, accessed 2026-07-18): https://www.flsenate.gov/Session/Bill/2026/658 --- Educational information, not legal advice. Published by STRWatch (Laniakea Technologies LLC).