How to Start a Short-Term Rental Business on the Big Island: Hawaii County Registration at $250 Hosted and $500 Unhosted, 180 Days or Fewer, $10,000 Fines

If you plan to rent a home, condo, or room for 180 days or fewer on the Big Island, Hawaii County requires you to register that rental. Under Hawaii County Ordinance 25-50 (Bill 47, 2025), registering a hosted rental costs $250 and registering an unhosted rental costs $500. Failing to register can bring a fine of up to $10,000. Registration is not optional. It is also not a zoning change. It is a county filing that sits alongside the zoning rules that already decide where a short-term rental may operate.

This guide walks through the process as it stands in late October 2026: what to gather, how to choose between hosted and unhosted, the state tax license you need, optional entity setup, the county filing, and the mistakes that cost owners time and money.

Disclaimer: This article is informational content, not legal, tax, or zoning advice. County rules, deadlines, and pending bills change. Confirm every point with the Hawaii County Planning Department and the Hawaii Department of Taxation, and consult a qualified attorney or CPA before you rely on it. Complex ownership, financing, or lease situations call for professional advice.

What You Need Before You Start

Gather these items before you open the registration portal. This is a general checklist, not the county's official document list, so confirm what the portal requires.

• Proof that you own the property, or the owner's written authorization if you manage or lease it.
• The exact street address and unit number of the rental.
• A government-issued photo ID and current contact details, including a working email address and phone number.
• Your General Excise Tax (GET) license number, or your application ready to file (see Step 3).
• A decision on whether the rental is hosted or unhosted (see Step 2).
• A payment method for the $250 or $500 registration fee.
• If you use a limited liability company (LLC), its Hawaii registration details and the name of your Hawaii registered agent.

Step 1: Confirm the Property Can Operate as a Rental

Registration is a filing with the county. It does not decide whether your property may operate as a short-term rental. That question still turns on zoning. The 2018 zoning and nonconforming-use rules under Bill 108 still govern where rentals may operate. Before you buy, lease, or list a property, ask the Hawaii County Planning Department whether the parcel is in a district that allows short-term rentals, or whether it has a recognized nonconforming use. Do not assume the answer from a neighbor's listing or an online map.

Bill 47 sets no cap on the number of rentals and does not change zoning. Two pending items could change the picture. Bill 147, which would rewrite the operating standards and zoning rules, was still before a County Council committee in September 2026 and is not law. Check its current status before you commit money to a property. Bill 175, passed on 2026-09-02, is reported to keep the registration window open through the end of 2026. Confirm that deadline with the Planning Department before you rely on it.

Step 2: Choose Hosted or Unhosted

Hawaii County sorts short-term rentals into two categories, and the fee depends on which one applies.

• Hosted: the rental is in the owner's principal home. Registration costs $250.
• Unhosted: the rental is anywhere else, such as a second home, an investment condo, or a unit you do not live in. Registration costs $500.

Both categories cover rentals of 180 days or fewer. An incorrect category means an incorrect fee, so confirm your category with the Planning Department before you file. If you claim hosted status, make sure the property really is your principal home and that you can document it.

Step 3: Get Your General Excise Tax License

Hawaii has no general statewide business license and no county general business license. The one universal state registration is the General Excise Tax (GET) license from the Hawaii Department of Taxation. It is a one-time $20 fee. You can apply on Form BB-1 or through Hawaii Tax Online at https://tax.hawaii.gov/. The license stays active until it is closed, surrendered, or revoked. Processing is immediate in person, takes 5 to 7 business days through Hawaii Tax Online, and takes 4 to 6 weeks by mail.

Hawaii has no sales tax. The GET is levied on the business's gross receipts, not on the guest. For rental receipts, the rate is 4.0 percent plus a 0.5 percent county surcharge, for a total of 4.5 percent. Every license holder must file periodic and annual returns, even in a period with no income, so set calendar reminders from day one. Confirm your filing frequency with the Department of Taxation at https://tax.hawaii.gov/get/.

Step 4: Decide Whether to Form an LLC

You do not need an entity to register a short-term rental with the county. Many owners still use a Hawaii LLC to separate rental activity from personal assets, and some lenders or insurers prefer one. Whether an LLC makes sense for you is a legal and financial decision, so talk with an attorney or CPA before you file anything.

If you form an LLC, these are the costs and rules to plan for:

• The Articles of Organization (Form LLC-1) filed with the Business Registration Division cost $50.
• The name must contain the words Limited Liability Company, LLC, or L.L.C. You can check availability for free in the business name search at https://hbe.dcca.hawaii.gov/search-and-buy. A name reservation costs $10 and lasts 120 days.
• The LLC must name a registered agent who is physically present in Hawaii, and the Articles must list that agent's complete Hawaii street address. An LLC cannot be its own registered agent. A commercial registered agent must file a listing statement with the Business Registration Division for $100.00.
• File online through Hawaii Business Express at https://hbe.dcca.hawaii.gov/. The Business Registration Division calls online filing the most efficient method. Expedited review is not available right now because of the transition to the new registration system that went live July 6, 2026, so plan for routine processing. The division does not publish a standard turnaround time.
• The annual report fee is $12.50. It is due by the end of the calendar quarter that matches your registration quarter. No report is required in the year you register.

Hawaii has no franchise tax on LLCs. Confirm the tax treatment of your entity with a CPA.

Step 5: Register With Hawaii County

The county registration portal is live at hawaiicountytar.com. Create an account, enter the property and owner details, select hosted or unhosted, and pay the fee. Expect the portal to ask for the items in the checklist above. Save the confirmation page and any registration number the system issues, and download a PDF copy.

The fee is $250 for a hosted rental and $500 for an unhosted rental. Failing to register can bring a fine of up to $10,000. The registration deadline has already been extended more than once, so do not treat any single date as settled. Confirm the current deadline with the Hawaii County Planning Department, and file well before it rather than on the last day.

Step 6: Plan for the Transient and General Excise Taxes

A short-term rental on the Big Island is subject to several layers of tax. Build all of them into your nightly rate and your bookkeeping before the first guest arrives.

Tax	Rate	Notes
State transient accommodations tax (TAT)	11 percent	Confirm your registration and filing steps with the Department of Taxation at https://tax.hawaii.gov/.
Hawaii County TAT	3 percent	In effect since January 1, 2022.
General Excise Tax (GET)	4.5 percent on rents	4.0 percent state rate plus the 0.5 percent county surcharge. The GET is a tax on your receipts, not a separate tax on guests.

Whether you pass these taxes to guests as a visible line item or absorb them into your rate is a pricing decision. If you do show the GET to guests, the maximum pass-on rate is 4.7120 percent. Ask the Department of Taxation how to collect and report each tax, and check whether any booking platform you use collects or remits any of them on your behalf.

Step 7: Check Insurance, Lease, Lender, and Employment Rules

Before you accept your first booking, confirm these four items in writing:

• Insurance: a standard homeowners or landlord policy may exclude paid short-term guests. Ask your insurer whether you need a short-term rental endorsement or a separate policy.
• Mortgage, HOA, or condo rules: your loan documents, association bylaws, or lease may prohibit or restrict rentals. Those private rules apply even when the county permits the use.
• Cleaners and managers: if you hire anyone, you must follow the Prepaid Health Care Act. Check with the Department of Labor and Industrial Relations before you hire.
• Professional help: if you manage several properties, a CPA can advise on how the GET, TAT, and any entity structure interact.

Step 8: Keep Records and Stay Compliant

Once you are registered, keep one file for each rental. Include the county registration confirmation, your GET license and returns, your TAT records, booking calendars, and nightly totals. Track the length of each booking, because the county's registration rules are built around rentals of 180 days or fewer. Check the Planning Department and the Department of Taxation at least once a year for changes, and watch the status of Bills 147 and 175 before any renewal or planning decision.

What the Costs Add Up To

These are the fixed figures covered in this guide. Add your own costs for insurance, cleaning, furnishings, and professional fees.

Item	Cost	Where to file
Hawaii County registration, hosted rental	$250	Hawaii County registration portal
Hawaii County registration, unhosted rental	$500	Hawaii County registration portal
General Excise Tax license	$20 one time	Department of Taxation, Form BB-1 or Hawaii Tax Online
LLC Articles of Organization (optional)	$50	Hawaii Business Express
LLC name reservation (optional)	$10 for 120 days	Business Registration Division
LLC annual report (optional, after first year)	$12.50	Hawaii Business Express
Commercial registered agent listing statement (optional)	$100.00	Business Registration Division

Common Mistakes to Avoid

• Assuming registration makes the rental legal. Registration is a county filing. Zoning and the 2018 rules still decide where rentals may operate.
• Choosing hosted to save $250. If the property is not your principal home, the hosted category does not apply, and an incorrect category creates an incorrect fee.
• Waiting until the deadline. Account setup, document gaps, and payment problems take time, and the deadline has moved before.
• Skipping the GET license. Hawaii has no sales tax, but every person doing business in Hawaii must hold a GET license, and it is a one-time $20 fee.
• Missing GET returns in a quiet year. License holders must file even when there was no income. New owners who have not yet rented often miss these.
• Forgetting the LLC annual report. If you form an LLC, the first report is not due in the year you register, but later reports are due by the end of the calendar quarter that matches your registration quarter.
• Relying on old information. Bills 147 and 175 are moving, so a rule you read last year may already be outdated.
• Ignoring private restrictions. A county registration does not override your lender, HOA, condo bylaws, or lease.

Tips for a Smoother Filing

• Call the Planning Department with your property address before you buy or list. A short call can prevent a costly mistake.
• Get your GET license before you open a listing so your tax information is ready when the county asks for it.
• Use Hawaii Business Express for any LLC filing, and save every confirmation as a PDF.
• Set a calendar reminder for your GET filing dates and your county deadline.
• Get free guidance from the Hawaii Small Business Development Center at https://hisbdc.org/.

What Results to Expect

Outcomes vary widely based on the property, its location, the season, and how well you manage the rental. Completing the county registration and tax licensing may help you operate within the county's current requirements and reduce the risk of the fine of up to $10,000. Income is not guaranteed. It depends on your pricing, occupancy, cleaning and maintenance costs, and the taxes described above. Plan for a few weeks of setup time for the GET license and any entity filing. Because BREG does not publish a standard turnaround time and expedited review is not currently available, confirm timing with each agency before you set a target opening date.

Next Steps

Start with the zoning question in Step 1, then get your GET license, then complete the Hawaii County registration well before the deadline. If you are unsure about zoning, entity structure, or taxes across more than one property, consult a Hawaii-licensed attorney and a CPA. These official resources will help you verify each step:

• Hawaii County registration portal: https://hawaiicountytar.com/
• Business Registration Division: https://cca.hawaii.gov/breg/
• Hawaii Business Express: https://hbe.dcca.hawaii.gov/
• Business name search: https://hbe.dcca.hawaii.gov/search-and-buy
• Department of Taxation: https://tax.hawaii.gov/
• General Excise Tax information: https://tax.hawaii.gov/get/
• Hawaii Small Business Development Center: https://hisbdc.org/