Coon Rapids, MN Hotels & Lodging: Transient Occupancy Tax (2026)
Key Facts
- Lodging tax rate
- 3% of gross accommodation receipts
- Covered facilities
- Hotels, motels, rooming houses, tourist courts, resorts
- Exemption
- Stays of 30 days or more
- Monthly report deadline
- 25th day of each month
- Late payment penalty
- 10% of unpaid tax
- Revenue split
- 95% tourism bureau, 5% City admin
- Effective date
- April 1, 1998 (Ordinance 1630)
Summary
In the City of Coon Rapids, hotels, motels, rooming houses, tourist courts and resorts must collect a 3% lodging tax on gross receipts from short-term accommodations under City Code Chapter 2-1000. Stays of 30 days or more, and rooms furnished by nonprofit, religious or educational groups, are exempt from the tax entirely.
(3)Lodging Facility. A hotel, motel, rooming house, tourist court, or resort, as those terms are commonly understood, where accommodations are furnished for consideration, other than the renting or leasing of such accommodations for a continuous period of 30 days or more. ... (1)Pursuant to authority granted under Minnesota Statutes, Section 469.190, there is hereby imposed a tax in the amount of three percent on the gross receipts from the furnishing for consideration of accommodations at any Lodging Facility in the City. ... (1)Any taxes not paid within 25 days following the close of a reporting period shall be subject to a penalty of ten percent.
Full Breakdown
City Code Section 2-1003 imposes a tax of three percent on the gross receipts a Lodging Facility collects for furnishing accommodations for consideration, using the authority the City Council cites to Minnesota Statutes Section 469.190. The Operator, defined in Section 2-1002 as the hotel's or motel's owner, lessee, or managing agent, collects the tax from the guest at the time the room charge is paid and must state it separately from the rent. Under Section 2-1004, every Operator files a monthly report with the Finance Director by the 25th, listing gross accommodation charges, tax due, and any uncollectible charges, and remits payment with that report; an Operator may instead adopt a four-week accounting cycle with the Finance Director's written consent.
The Finance Director can examine an Operator's records to verify a report and bill any shortfall within 10 days of notice, while an Operator who overpaid gets a refund and may separately file a written refund claim within one year under Section 2-1005. Ninety-five percent of what the tax raises funds a local convention and tourism bureau that markets Coon Rapids, and the City keeps up to five percent under Section 2-1010 to cover administering and enforcing the chapter. An Operator dissatisfied with any Finance Director determination can demand a hearing before the City Council under Section 2-1007 by filing a written request within 10 days, and the Council can affirm, deny, or modify the decision.
Violations & Fines
Taxes not paid within 25 days of the reporting period's close draw a 10 percent penalty under Section 2-1006, and if an Operator still hasn't paid tax or penalty within 30 days, the Finance Director issues a written estimate that must be paid within 10 more days or gets specially assessed against the property like an unpaid utility charge. The City Attorney can also sue directly to collect the tax, penalty, and collection costs including attorney's fees. Separately, Section 2-1008 makes any willful violation of the chapter, failing to file a required report, or filing a false report a misdemeanor.
Frequently Asked Questions
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Sources & Official References
Other rules in Coon Rapids
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