Short-Term Rental Laws in Newport, Rhode Island

Newport adopted a substantial STR ordinance in 2022, tightened in 2024 alongside the new statewide RI registration regime. Non-owner-occupied STRs are permitted ONLY in specific zoning districts — primarily Waterfront Business (WB), General Business (GB), Limited Business (LB), and Mixed-Use overlays. Non-owner-occupied STRs in single-family residential zones (R-10, R-20, R-40, R-60, R-160) are prohibited except for grandfathered properties with continuously-renewed registrations. Owner-occupied home-share STRs remain available in residential zones with primary-residence verification.

Owner-occupied home-share: allowed in R-10, R-20, R-40, R-60, R-160 single-family residential, R-MH multi-family, and most overlay districts subject to primary-residence verification. Non-owner-occupied whole-home: WB Waterfront Business, GB General Business, LB Limited Business, and Mixed-Use districts only. The Point, Historic Hill, and Kerry Hill historic-district neighborhoods are mostly R-10 / R-20 — non-owner-occupied STRs in those neighborhoods are not eligible for new registrations. Confirm parcel zoning via Newport Planning Department.

Operators must hold a short-term rental permit before listing. See the official permit portal.

Newport Code Enforcement + Tax Assessor jointly administer with the RI Dept of Business Regulation. Annual renewal. Application requires proof of liability insurance, designated 24/7 local contact within 25 miles, life-safety inspection (smoke + CO + fire extinguishers + posted occupancy + parking plan), and primary-residence verification for home-share registrations. Operating without registration: administrative fines + cease-rental order + RI state escalation under 2024 statewide regime. The state RI registration is required IN ADDITION to the city registration.

Combined short-term lodging tax in Newport is approximately 13.000% of gross nightly revenue (state sales + state TRT + local TRT + applicable resort/city options).

Rhode Island State sales tax 7% + State hotel tax 5% + Newport local option hotel tax 1% — combined ~13% on transient lodging

Verify the current combined rate via the Utah State Tax Commission before remitting — rates drift quarterly.