An Arkansas sublease agreement allows tenants to rent part (or all) of their rental property to a subtenant. A tenant must receive written permission from their landlord before subletting.
It’s important to understand that the subtenant living at the property will be subject to the terms and conditions of the original lease agreement the initial tenant has with the landlord or property manager. Furthermore, the sublessor would be held liable for any lease violations or damage caused to the property and that rent is paid on time.
Laws & Requirements
Sublease and Assignment Provision Laws: No.
Landlord-Tenant Laws: Title 18, Subtitle 2, Chapter 16 of the Arkansas Code.
Security Deposit Obligations: The sublessor must return the security deposit within 60 days of the end of the sublease.
Notices: In Arkansas, sublessors must give their subtenants three days’ written notice to pay rent or leave and 30 days’ written notice of the intent not to renew the sublease or the original lease with their landlord.
Permission to Sublet
Tenants in Arkansas must obtain written permission from their landlord before subletting.
- Laws: Even without a provision prohibiting subleases, the landlord can still deny future sublease requests.
- Explicit Written Consent: Yes, unless stated otherwise in the original lease.
- Landlord’s Right to Reject: Even if sublet permission is granted, a landlord can screen potential subtenants and reject them for legally valid reasons.
Tax Obligations
Lodgings Tax
- Subleases of 30 days or less are subject to state, county, and city taxes if within city limits (§ 26-63-301(b)).
- The state collects most taxes on behalf of counties and cities, except for a few local taxes.
Tax Rates by County
- 6.5% state sales tax and 2% state tourism tax (§ 26-63-402).
- Additional taxes include county and city sales taxes, which vary by location.
Filing Frequency
- A short-term rental (STR) business license might sometimes be required, with the application process usually beginning with the city clerk.
- Taxpayers must register with the Director of the Department of Finance and Administration before conducting business, with separate permits required for each location.
Making Payments
- There are no specific provisions regarding marketplace facilitators like Airbnb or HomeAway in state law.
- Out-of-state taxpayers must collect state and local taxes in states where they operate, even without a physical presence.
Sample
Related Documents
Rental Application
Helps landlords vet prospective tenants before entering into a lease agreement.