Eagan, MN Hotels & Lodging: Transient Occupancy Tax (2026)

Eagan City Code § 2.80 imposes a 3% tax on the gross receipts an operator collects for furnishing lodging, defined to exclude stays leased for 30 continuous days or more. The tax must be stated separately from the room charge, and the operator holds the collected money in trust for the city rather than as its own revenue. Returns and payment are due to the city no later than 25 days after the end of the month in which the tax was collected, reporting gross lodging receipts, the tax collected, and any uncollectible receipts.

The city may examine the operator's books and records, which the operator must produce within 15 days of a request, and can bill any shortfall or refund any overpayment it finds. An operator who overpays has one year from payment (or from filing the return, whichever is longer) to apply for a refund from the city. Ninety-five percent of the tax collected is earmarked to fund a local convention or tourism bureau that markets Eagan as a tourist and convention destination; the remainder supports the city's administration of the tax.

An operator who disputes a city determination can petition the city clerk for administrative review within 30 days, get a hearing before the city administrator or a designee within 14 days' notice, and appeal that decision to the city council by filing written notice within ten days of the administrator's ruling.