Educational information only, not tax advice. Rules and figures change — confirm your situation with a qualified Oklahoma tax professional before filing.
Oklahoma · USA · Short-term rental taxes
Short-Term Rental Taxes in Oklahoma
Short term rental taxes in Oklahoma: 4.5% state sales tax plus local sales and lodging taxes on each stay, a 9.25% hotel tax in Oklahoma City, and 2026 income tax topping out at 4.5%.
The 30-Second Answer
- Short term rental tax in Oklahoma starts with the 4.5% state sales tax on room rentals. City and county sales tax comes on top (typically 1%–5.5%), and many places add a local lodging tax that the Oklahoma Tax Commission administers.
- The big cities add their own hotel tax. Oklahoma City charges 9.25% on hotel stays and home-sharing rentals (up from 5.5% on October 1, 2024). Tulsa's lodging tax is 5% on stays of 29 nights or fewer.
- Airbnb collects the state and local layers, including the OKC and Tulsa taxes. Vrbo collects sales tax, state-administered lodging tax and the OKC hotel tax. Direct bookings need your own Tax Commission sales tax permit and a return by the 20th.
- 2026 income tax tops out at 4.5% on taxable income above $7,200 (single) or $14,400 (joint), after HB 2764. File Form 511 by April 15, 2027; returns filed electronically get until April 20 if any tax due is also paid electronically.
Deductions
What Oklahoma STR Hosts Can Deduct
Oklahoma's return starts from your federal numbers, so the rental expenses you deduct federally also reduce the 2026 state tax of up to 4.5%.
Sales, lodging and hotel taxes collected from guests belong to the state and city. Leave them out of rental income, or record them and deduct the same amount when you remit. If you use the home yourself, allocate costs between rental and personal days under IRC §280A.
Filing Calendar
Key Dates & Filing Calendar
Oklahoma sales and lodging tax returns are due by the 20th after each reporting period. Income tax follows the federal April calendar, with a few extra days for e-filers.
Oklahoma's HB 2764 also lets the income tax fall a further 0.25 point across all brackets in years when set revenue conditions are met, so check the Tax Commission's current rate table each year.
Oklahoma Tax Commission — Packet A, Form STH20006-A, Form 511 instructions, 2025 legislative summary
Federal & Oklahoma Income Tax Treatment
Passive Rental vs. Active Business: Which Applies to Your Oklahoma STR?
The Schedule E or Schedule C result on your federal return flows into Oklahoma income, where 2026 rates run from 0% to 4.5% under the brackets set by HB 2764.
Passive Rental — Schedule E
The standard route for most Oklahoma hosts
- Report rents and expenses on Schedule E; the net figure carries into your Form 511.
- No self-employment tax on net rental income.
- Passive-loss rules apply; the $25,000 allowance phases out between $100,000 and $150,000 of modified AGI.
- Depreciate the building over 27.5 years; furnishings acquired after January 19, 2025 can take permanent 100% bonus depreciation.
No ceiling; Oklahoma's 2026 top rate is 4.5%
Active Business — Schedule C
When your rental works like a small hotel
- Applies when the average stay is 7 days or less and you provide substantial services such as daily housekeeping or meals.
- Net profit owes 15.3% self-employment tax; the Social Security part stops at the $184,500 2026 wage base.
- Losses can offset other income if you materially participate.
- May qualify for the federal §199A QBI deduction; Oklahoma still taxes the profit at up to 4.5%.
No ceiling; SE tax applies on top of federal and Oklahoma income tax
Depreciation
Depreciation for Oklahoma STR Properties
Depreciation is claimed federally and flows into your Oklahoma return, cutting both income taxes every year the home is rented.
| Asset | Typical write-off period | Notes |
|---|---|---|
| Residential rental building | 27.5 years (straight-line) | Land is not depreciable; allocate the price between lot and structure. |
| Furniture, appliances & electronics | 5 years (MACRS) | Items acquired after January 19, 2025 qualify for permanent 100% bonus depreciation. |
| Fencing, patios, driveways & storm shelters outside the home | 15 years (MACRS) | Land improvements are separate from the building; confirm how a shelter is classed with your preparer. |
| Roof, HVAC & structural upgrades | 27.5 years (straight-line) | Improvements to the building follow its recovery period. Storm repairs that only restore it may be deductible now. |
Cost segregation can move components into 5- and 15-year classes for faster write-offs. Get professional advice before paying for a study.
On sale, depreciation claimed is recaptured federally at up to 25% (unrecaptured §1250 gain). The gain is also included in Oklahoma income unless a state exclusion applies.
Sales & Lodging Tax
Oklahoma Sales, Lodging and Hotel Taxes on Vacation Rentals
An Oklahoma vacation rental booking can carry four layers: state sales tax, local sales tax, a state-administered local lodging tax and, in the big cities, a city hotel or lodging tax.
The Oklahoma Tax Commission collects the 4.5% state sales tax, local sales taxes and state-administered local lodging taxes. Oklahoma City's hotel tax is a city tax, and Tulsa levies its own lodging tax.
4.5% state + local sales tax + any local lodging or hotel tax (varies by city)
Oklahoma Tax Commission — Sales and Use Tax; OAC 710:65-19-143; City of OKC hotel tax; Airbnb Help Center article 2323
| Booking type | Who collects & remits | What it means for your books |
|---|---|---|
| Airbnb booking | Airbnb collects state and local sales tax, state-administered lodging tax, the OKC hotel tax and the Tulsa lodging tax | Keep Airbnb's tax reports as proof nothing further is owed on those stays |
| Vrbo booking | Vrbo collects Oklahoma sales tax and state-administered lodging tax statewide, and the Oklahoma City hotel tax | Check whether a Tulsa or other city lodging tax is on the booking breakdown |
| Direct booking | You collect all layers from the guest and file with the Tax Commission and the city | Get a sales tax permit before your first direct stay and keep the tax separate from rent |
Oklahoma's sales tax rule for rooms applies regardless of how long the guest stays, while the OKC and Tulsa taxes collected by Airbnb apply to stays of 29 nights or fewer. The Tax Commission publishes each city and county rate in its quarterly rate-and-code charts.
Platforms
Airbnb Tax in Oklahoma: What the Platforms Collect
Airbnb and Vrbo collect most Oklahoma sales and lodging taxes. Direct and Booking.com stays leave the collection to you unless the platform shows otherwise.
| Platform | Reports your income | Collects the local lodging tax | Annual earnings summary |
|---|---|---|---|
| Airbnb | Form 1099-K above $20,000 and 200 transactions; 1099-MISC for other payments of $2,000+ | Yes — 4.5% state sales tax, local sales tax, state-administered lodging tax, OKC 9.25% hotel tax and Tulsa 5% lodging tax | Earnings and tax reports in the host dashboard |
| Vrbo | Form 1099-K at the same federal thresholds | Yes — sales tax and state-administered lodging tax statewide, plus the Oklahoma City hotel tax | Annual payout summary in the owner dashboard |
| Booking.com & direct | Direct stays: no third-party reporting; you report all income | Not verified for Booking.com — unless your statement shows tax collected, you collect and remit it | Extranet invoices or your own ledger |
Using More Than One Platform?
Airbnb and Vrbo each remit only for their own bookings, and their city coverage differs. Track every channel in one ledger so your permit returns cover only direct stays while Form 511 captures the full year.
US Reporting — 1099-K, Not DAC7
DAC7 is an EU directive and does not apply to Oklahoma rentals. US platforms report payouts on Form 1099-K once gross payments exceed $20,000 and 200 transactions in the year. All rental income is taxable whether or not a form arrives.
Airbnb Help Center — Occupancy tax collection and remittance by Airbnb in Oklahoma (airbnb.com/help/article/2323); Vrbo Help — Tax by jurisdiction (N–Z); IRS — Form 1099-K
Illustrative P&L: An Oklahoma City Home Share
Example: a whole-home rental earning $38,000 in rents (excluding sales, lodging and hotel taxes paid by guests). For illustration only — not tax advice.
Record-Keeping
Stay Audit-Ready: What to Keep and How Long
The IRS, the Oklahoma Tax Commission and your city can each ask to see how you taxed a stay and what you earned.
| Keep | How long | Why |
|---|---|---|
| Booking records (dates, nights, guest, rate, channel) | At least 3 years after filing | Separates platform stays from direct ones and supports rental vs. personal days |
| Platform tax reports showing tax collected | At least 3 years after filing | Shows Airbnb or Vrbo remitted the sales and lodging taxes |
| Sales and lodging tax returns (STH20006-A) and payment confirmations | At least 3 years after filing | Evidence for direct bookings reported under your permit |
| Expense receipts, including storm repair invoices | 3 years from filing (6 if income is understated by more than 25%) | Supports deductions carried from your federal return to Form 511 |
| Purchase papers, improvements and depreciation schedule | Until 3 years after you sell | Needed for basis, gain and depreciation recapture |
Record insurance payouts next to the matching storm repairs. They affect whether a loss is deductible and the property's basis.
Estimator
Short-Term Rental Tax Estimator
Plug in your bookings and costs to see your likely taxable position.
Your Numbers
Total short-term-rental income, before costs.
Allowable running costs, mortgage interest, depreciation and platform fees.
Your top income-tax band, as a percentage.
Estimated tax owed
Income tax on your net rental profit at your marginal rate.
Illustrative estimate. A simplified model to orient you — it is not tax advice. Confirm your situation with a qualified local professional.
Sources & notes
This page is for education only and is not tax or legal advice. Confirm current rates and requirements with the Oklahoma Tax Commission, your city and a qualified tax professional before filing.
- Oklahoma Tax Commission — Sales and Use Tax — 4.5% state sales tax. https://oklahoma.gov/tax/businesses/sales-use-tax.html
- OAC 710:65-19-143 — Hotels, motels, apartments — Furnishing of rooms subject to sales tax without regard to length of stay. https://regulations.justia.com/states/oklahoma/title-710/chapter-65/subchapter-19/part-15/section-710-65-19-143
- Oklahoma Tax Commission — Form STH20006-A Lodging Tax Return — Due by the 20th after each reporting period. https://oklahoma.gov/content/dam/ok/en/tax/documents/forms/businesses/general/STH-20006-A.pdf
- Oklahoma Tax Commission — Business Registration Packet A — Returns due by the 20th; semi-annual allowed under $50 a month. https://oklahoma.gov/content/dam/ok/en/tax/documents/forms/businesses/general/Packet-A.pdf
- Oklahoma Tax Commission — Summary of 2025 Tax Legislation (HB 2764) — 2026 brackets 0%, 2.5%, 3.5%, 4.5%; 0.25-point trigger. https://oklahoma.gov/content/dam/ok/en/tax/documents/resources/publications/legislation/2025LegislativeUpdate.pdf
- Oklahoma Tax Commission — Form 511 instructions — April 15 due date; April 20 for e-filers paying electronically; Form 504-I. https://oklahoma.gov/content/dam/ok/en/tax/documents/forms/individuals/current/511-Pkt.pdf
- City of Oklahoma City — Voters approve hotel tax increase — 5.5% to 9.25% from Oct 1, 2024; covers home-sharing rentals. https://www.okc.gov/News-articles/OKC-voters-approve-hotel-tax-increase
- Airbnb Help Center — Occupancy tax collection and remittance by Airbnb in Oklahoma — State, local, OKC and Tulsa taxes Airbnb collects. https://www.airbnb.com/help/article/2323
- Vrbo Help — Where Vrbo collects and remits taxes (US N–Z) — Oklahoma sales & state-administered lodging tax; OKC hotel tax. https://help.vrbo.com/articles/vrbo-stay-taxes-lodging-taxes-united-states-n-z
Questions
Frequently Asked Questions — Oklahoma STR Taxes
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