Regulation & Licensing · 2026
What the Law Requires in Inverness
Nova Scotia regulates short stays through registration. Anyone providing roofed accommodation for 28 days in a row or less must register with the province before operating, under the Short-term Rentals Registration Act, whose current regulations took effect on September 30, 2024; only long-term rentals and unroofed campsites are exempt. What you pay depends on the category. Renting your own primary residence while you're away costs C$50 a year. A commercial short-term rental, meaning a home you own or a condominium unit that isn't your primary residence, costs C$500 a year per unit in Inverness, the rate everywhere outside seven Halifax-area communities, which pay C$2,000, and five small towns, which pay C$240. Traditional tourist accommodations, which the province says include inns, bed and breakfasts, personal vacation homes and cottages as well as rooms rented in your home, pay C$50 a location with up to four bedrooms and C$150 with five or more. Which category a house falls into is the province's call, so ask the registry before you budget. The application needs proof of compliance with municipal land-use by-laws, two documents showing whether the home is or isn't your primary residence, owner or condo-board consent where it applies, and a Nova Scotia office or representative if you live outside the province. Numbers usually take two to three weeks and are renewed by April 1 each year; they don't pass to a new owner, and Airbnb, Booking.com, Expedia and Vrbo need one before a listing goes up. Operating unregistered can bring a fine of up to C$100,000 for each year, and since December 1, 2025 the province can also impose administrative penalties of C$2,000, C$4,000 and C$8,000 for first, second and later offenses.
The Municipality of the County of Inverness doesn't license short-term rentals: we checked the county's by-law list in October 2026 and found no rental licensing by-law. It does charge a levy on them. Marketing Levy By-law No. 44, passed on September 7, 2023, applies to all accommodation in the county, including any facility that must register with the province, and since January 1, 2024 the rate has been 3% of the purchase price of the stay, not counting the GST; before that it was 2%, and properties with fewer than ten rooms were exempt until the end of 2023. Stays of more than 30 consecutive days, rooms of C$20 a night or less, guests in the area for medical treatment and families displaced by a natural disaster are exempt. Every operator needs a registration certificate from the municipality for each place of business, displayed on the premises and not transferable; returns are monthly and due by the 15th of the following month, including a nil return when nothing was collected; the levy must appear as a separate line on receipts and invoices; records are kept for seven years; and fines run from C$500 to C$1,000 for a first offense and C$1,500 to C$5,000 after that.
Planning for the county is handled by the Eastern District Planning Commission (EDPC). Since September 11, 2025, most of the county has been under Plan Inverness, a municipal planning strategy and land use by-law that council adopted on May 22, 2025, which brought land-use rules to areas that had none; Chéticamp, Inverness, Port Hastings, Port Hood and Whycocomagh keep their own plans. Plan Inverness calls renting a building or part of one to the traveling public for 28 days or less accommodation, whether it's a whole home, a room, a cottage, a cabin, a dome or a yurt. That use is permitted outright in six zones, mostly village centers and commercial areas: Main Street, General Centre, Hamlet Core, Rural Commercial, Highway Commercial and Commercial Recreation, plus up to three units per lot in the Source Water Protection zone. In the residential, rural general, agricultural, lakeshore and watershed zones, rentals fit in as a home-based business run from the operator's principal residence: one or two rental units at Level I and, in most of those zones, up to five at Level II. So an owner who lives on the property has a route to renting in those zones, while a cottage that is nobody's home needs an accommodation zone. A rental that was already operating lawfully before September 11, 2025 may be able to carry on as a non-conforming use, which the by-law handles under the Municipal Government Act and lets restart after a break of up to 12 months; EDPC can confirm the zone, and whether an existing rental qualifies, before you buy, build or register.
Inside the village of Inverness, the 2015 Inverness Land Use By-law, amended several times since, still applies. Its closest match to a house rented to visitors is the tourist or guest home, a single-detached dwelling with no more than eight sleeping rooms let to transient guests, which needs site plan approval and is allowed in the Rural Development, Residential Urban and Residential Multiple-Unit zones and in the Commercial Business District and Commercial Mixed-Use zones; the Rural Residential zone allows a bed and breakfast instead. Tourist cabin and cottage developments need the Commercial Tourism zone, with site plan approval, or a development agreement, and parking is one space plus one for every two overnight guests. Two tax points sit above the provincial and county rules. Nova Scotia's HST rate is 14%, down from 15% on April 1, 2025, and from the 2024 tax year the CRA won't allow a short-term rental's income-tax deductions for any day it lacks a registration, licence or permit that the province or the municipality requires. None of this is legal advice: the province, the county, EDPC, a Nova Scotia lawyer and an accountant have the final say on your property. Cavmir looks after the marketing; the registration, levy returns and tax filings stay with you and your advisers.