The Hotel Room Occupancy Tax is a tax you pay when you stay in a hotel. A "hotel" can be an apartment, hotel, motel, boardinghouse, bed-and-breakfast, bungalow or club. It doesn't matter whether meals are served. If you stay in a room in a hotel, you have to pay this tax.

There are three taxes, and one fee, for hotel room rentals in New York City:

• Hotel Room Occupancy Tax
• New York State Sales Tax
• New York City Sales Tax
• New York State Hotel Unit Fee ($1.50 per unit per day)

The Department of Finance collects the Hotel Room Occupancy Tax. The New York State Department of Taxation and Finance collects the other taxes and fees.

Hotel operators and remarketers (when a room has been purchased through a re-seller) collect the tax from you when you book a room. A building is not a hotel if rooms are rented for up to 14 days or only once or twice during any four consecutive tax quarters of a 12-month period. Rentals to permanent residents are not counted as hotel room rentals.

Who is exempt from this tax?

• A permanent resident (someone who stays in a room for at least 180 days in a row)
• New York State, a political subdivision of the State or a public benefit corporation
• The United States
• The United Nations
• A not-for-profit organization formed and operated only for religious, charitable or educational purposes, or to prevent cruelty to children or animals

Filing requirements

Every hotel operator must file a Certificate of Registration with the Department of Finance. They must also get a Certificate of Authority to collect the Hotel Room Occupancy Tax.

New hotel registration

If a new hotel opens, the operator must file a Certificate of Registration within three days after guests start renting rooms.

Tax return filing

Every operator must file a tax return. Quarterly returns must be filed for each property for the three-month periods ending on the last day of August, November, February and May. The return must be filed within 20 days of the end of each quarter.

For periods starting on and after September 1, 2004, operators can file a tax return yearly if their hotel has fewer than 10 rooms or 10 furnished apartments. This return is due on March 20 each year for the period from March 1 to the last day of February.

Single tax return for multiple addresses

An operator should file a single tax return for furnished apartments or living units for single families at multiple addresses but registered under one certificate. A schedule listing the location of each apartment or living unit should be attached. Returns should be mailed to:

NYC Department of Finance
CRT Tax Return Unit
PO Box 5160
Kingston, NY 12402-5160