A hotel's owner, operator or manager must collect hotel taxes from their guests. For the purposes of the state tax, a hotel is considered to be any building in which members of the public rent sleeping accommodations for $15 or more per day. Local hotel taxes apply to sleeping rooms costing $2 or more per day.
The tax covers hotels, motels, and bed and breakfasts, as well as condominiums, apartments and houses rented for less than 30 consecutive days. This includes short-term rentals. Hotel tax does not apply to hospitals, sanitariums, nursing homes, student dormitories operated by colleges and universities, or condominiums, apartments and houses leased for more than 30 consecutive days.
Hotel Occupancy Tax
Chapter 1, General Provisions, Section 11 of the Code of Ordinances authorizes the City of College Station to levy a Hotel Occupancy Tax equal to 7% of the consideration paid by the occupant of any hotel where the cost of occupancy is at the rate of $2.00 or more per day. On the 20th day of the month following the month of collection, every person required to collect the tax must file a report with the City's Accounting Office. Payment of taxes collected for the reporting period are due at the same time the report is filed. In addition, a copy of the Texas Hotel Occupancy Tax report should be furnished to the City.
Failure to file the required reports and to remit payment is a misdemeanor punishable by a fine and a penalty of 15% of the tax due for each thirty (30) days that the report is not filed or the payment is not made.
| Due Date | Monthly: 20th day of the month following the end of each calendar month. (For example, April 20 for March activity) |
| Penalties |
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| Interest | Past-due taxes are charged interest beginning 61 days after the due date. |
For questions, please contact Avenu Insights at 866-240-3665 or email supportmuni@avenuinsights.com.
FAQs
What are hotel occupancy taxes?
How are local hotel occupancy taxes used?
Under the State’s Tax Code, expenditures of hotel occupancy taxes must directly enhance and promote the tourism industry in College Station.
Are short-term rental units required to collect & remit hotel occupancy taxes?
Yes. According to the Tax Code, a short-term rental is subject to hotel occupancy taxes (see Tex. Tax Code § 156.001(c)).
What is the hotel occupancy tax rate for College Station?
7% of the consideration paid by the occupant of any hotel or short-term rental where the cost of occupancy is at the rate of $2 or more per day.
How often do hotel occupancy taxes have to be submitted?
Every month. Due date is the 20th day of the month following the month of collection. A report must be filed every month, regardless of whether any stays were recorded, and taxes collected.
I own a short-term rental. How do I submit these taxes?
First, to operate a short-term rental in College Station, you must receive a permit by applying online. Once you've received your permit, you'll need to file and remit your taxes on a monthly basis.
I thought Airbnb takes care of my required taxes?
Some companies like Airbnb have an agreement with the State of Texas to collect and remit the appropriate taxes on behalf of hosts registered with the platform. However, this only covers the 6% state tax rate. Hosts must also file and remit the appropriate local hotel occupancy taxes to the City of College Station and Brazos County.
Is there a penalty for late filings?
Yes. Failure to file the required reports and to remit payment is a misdemeanor punishable by a fine and a penalty of 15% of the tax due for each thirty (30) days that the report is not filed or the payment is not made.
Violations of the STR ordinance (such as nonpayment of hotel occupancy taxes) may result in permit revocation or denial of your permit at renewal.