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Pakistan

Airbnb Laws in Pakistan

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Explore Rental Markets by Compliance

Compare demand, permit requirements, tax burden, and overall complexity across states.

Sindh
Punjab
North West Frontier Province
Islāmābād
Gilgit-Baltistan
Federally Administered Tribal Areas
Balochistān
Azad Kashmir

 Rental Types

Compare Rental Types and Requirements

See what’s allowed, what permits you need, and how regulations differ across rental durations.

Short-term rental

Allowed with permit

Under 30 nights

Airbnb, VRBO, direct booking

Permit required

-

Type 1 or Type 2 STR Licence

Type 1 = owner-occupied · Type 2 = non-owner-occupied

90-night annual cap for non-primary residences in restricted zones

Licence number must appear on all listing platforms

Max occupancy: 2 guests per bedroom plus 2 additional

Need the full application walkthrough?

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Mid-term rental

Generally allowed

30–365 nights

Furnished monthly stays

Permit required

-

No STR permit needed

No annual night cap or density restrictions

No Hotel Occupancy Tax — meaningfully lower tax burden

Landlord-tenant rights apply — deposit, habitability, and notice obligations

Mid-term is lower friction. Get the basics right.

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Long-term rental

Fully allowed

12-month lease

Standard residential

Permit required

-

None — standard residential use

Residential Property Code governs · No STR obligations

No permits, night caps, or density restrictions

No Hotel Occupancy Tax obligations

Standard habitability, notice, and deposit rules apply

taxes

What Applies and Who Handles It

Understand which taxes apply, who collects them, and what you’re responsible for, especially when handling direct bookings.

STATE

Hotel Occupancy Tax

6%

Collected by

Airbnb, VRBO

Who files

Platform on your behalf

Applies to

STR under 30 days only

County 

County HOT

2%

Collected by

Platform or operator

Direct bookings

You must register & file

Applies to

STR under 30 days only

CITY

City hOT

6%

Collected by

Platform or operator

Filing frequency

Monthly

Applies to

STR under 30 days only

Combined total

All taxes, all levels

17%

OTA bookings

Platforms handle state portion

Direct bookings

You collect & file all three

Mid / Long-term

No HOT applies

Direct bookings mean three separate filings

Miss one and you're exposed. Lodge Compliance helps you automates all three

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FAQs & Guides

Common Question From Operators

Clear answers to help you understand what’s required, and a straightforward way to get it done.

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What is the maximum length of stay in Pakistan?

Overview

Short-term rentals, commonly known as vacation rentals or guest houses in Pakistan, have become a significant part of the country's hospitality industry. Popular destinations like Lahore, Karachi, and Islamabad attract both local and international tourists, offering a diverse range of accommodations that cater to various needs and budgets. The rise of these rentals has had a notable impact on the tourism sector, contributing to the local economy and providing an alternative to traditional hotels.

In 2023, the government saw substantial revenue generated from the short-term rental market, reflecting its growing importance in Pakistan's economic landscape. Popular platforms like Airbnb and Booking.com have made it easier for property owners to list their accommodations, further boosting the visibility and accessibility of these rentals. As a result, short-term rentals are not only enhancing the travel experience in Pakistan but are also playing a crucial role in the country's financial growth.

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Overview
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Disclaimer

Lodge compliance is not a licensed tax or financial advisor. Therefore nothing in the above article should be construed as tax, legal, or financial advice. Contact your local tax office for information regarding your personal circumstance.

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