Boston combines state, city, and convention center surcharges into a 14.45% room occupancy excise on hotels, motels, B&Bs, and qualifying short-term rentals operating in the city.
Massachusetts levies a 5.7% state room occupancy excise under MGL Ch. 64G §3, plus Boston imposes a 6% local option excise and a 2.75% Massachusetts Convention Center Authority surcharge specific to Boston, Cambridge, Springfield, and Worcester. The combined effective rate paid by guests is 14.45% on each rented room or short-term unit. Operators register with the Massachusetts Department of Revenue, collect the excise at booking, and remit monthly through MassTaxConnect. The 2018 short-term rental expansion brought Airbnb-style hosts under the same framework, with intermediaries collecting on hosts' behalf.
Failure to register, collect, or remit the room occupancy excise exposes operators to back taxes, interest, penalties up to 25%, and potential criminal sanctions for willful evasion under MGL Ch. 62C §73.
Boston, MA
Boston requires STR registration through Inspectional Services with a $200 annual fee. Only owner-occupied properties qualify, and operators must reside in t...
Boston, MA
Boston STR operators pay state room occupancy excise of 5.7% plus a local tax of 6.5%, the highest local rate allowed in Massachusetts, totaling 12.2% in taxes.
See how Boston's transient occupancy tax rules stack up against other locations.
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