Ordinance 2000 – 02

Section 14 – Business Licenses

NOTICE: Ocean City’s Rental Housing Ordinance (Chapter 14, Article V) has been amended. Recent changes to the Ordinance will affect your obligations and operations as a hosting platform or property manager. Please review the Letter, the attached Ordinance and Frequently Asked Questions which will explain how to comply with your obligations under the Ordinance.

The following is a summary of the Code of the Town of Ocean City Chapter 14 entitled Licensed Occupations. For information regarding business licenses contact the License Inspector at 410-289-8861.

License required

A person who engages in any business, occupation or activity in the Town of Ocean City, Maryland must first obtain a license for that business, occupation or activity from the Mayor and City Council of Ocean City.

Application for license and display of license

The application for all business licenses shall be made to the Mayor and Council at City Hall, 301 Baltimore Avenue, Ocean City, Maryland. A license shall be issued when the license fee has been paid in full and the application has been approved by the appropriate City Departments.

The business license will specify, by name and telephone number, the person to whom it is issued, the business or activity for which it is granted, and the location of the business or activity.

Payment of license fees and term of license

The license fee for renting a residential property is $116.00 due on May 1 of each year. The license expires April 30 the following year. Rentals may also be subject to a 5% room tax, payable to Worcester County, and a 6% sales tax, payable to the State of Maryland. For more information about these room taxes, call Worcester County at 410-632-0686 X 1211 and the State of Maryland at 1-800-492-1751.

The license fees for other businesses or activities vary depending on the type of business and other related criteria. These fees are due on June 1 each year and the license expires May 31 the following year.

Noise Control Permit

In addition to obtaining the required rental license, any property owner who provides shelter on a temporary basis must also obtain a Noise Control Permit. The permit fee is $25.00 and is due and payable at the time of licensing as outlined above.


Anyone operating a business or activity without the proper license and permit shall be deemed guilty of a misdemeanor punishable by a fine of not more than $1000. Each day the violation continues constitutes a separate offense.