Newport Beach, CA Hotels & Lodging: Transient Occupancy Tax (2026)
Key Facts
- Tax rate
- 9% of rent charged
- Transient threshold
- 30 consecutive days or less
- Late payment initial penalty
- 10% of tax, non-waivable
- Second delinquency penalty
- Additional 10% after 30 days
- Interest on unpaid tax
- 1.5% per month
- Registration deadline
- Within 30 days of starting business
- Records retention
- 4 years, City-auditable
Summary
Newport Beach charges a 9% transient occupancy tax on rent paid by any hotel, motel, short-term rental, or space occupied 30 days or less. Operators collect it from guests and remit it to the Administrative Services Director under Municipal Code Chapter 3.16.
For the privilege of occupancy in any hotel, each transient is subject to and shall pay a tax in the amount of 9% of the rent charged by the operator. The tax constitutes a debt owed by the transient to the City, which is extinguished only by payment to the operator or to the City. The transient shall pay the tax to the operator of the hotel at the time the rent is paid.
Full Breakdown
030, every transient occupying a hotel, motel, bed and breakfast inn, rental unit, mobile home, or time-share project in Newport Beach for 30 consecutive days or less owes a 9% tax on the rent charged. The operator collects the tax at the time rent is paid and it becomes a debt to the City the moment it is collected. 020 defines "hotel" broadly to include any structure, or portion of one, occupied for dwelling, lodging or sleeping by transients, plus campsites or spaces occupied by an RV, camper or trailer used as a dwelling.
A stay becomes exempt from the tax only once a guest signs a "qualifying rental agreement" committing to at least 31 consecutive days before the first day of occupancy; agreements terminated early do not qualify. 020 are exempted from this separate registration. 070 requires quarterly returns reporting total rents charged, tax collected, and units available, due by the last day of the month following each calendar quarter, with all collected tax held in trust for the City until remitted. 110 and are subject to City audit on 24 hours' written notice.
Violations & Fines
Late remittance draws a 10% initial penalty under Section 3.16.080 that cannot be waived, plus a second 10% penalty if the tax and initial penalty remain unpaid 30 days after the delinquency date, plus interest at 1.5% per month on the unpaid tax. If an audit finds intentional misrepresentation or a discrepancy of 5% or more between tax owed and tax remitted, the operator must also reimburse the City's audit costs. Section 3.16.085 adds a 25% fraud penalty where nonpayment is due to fraud, and Section 3.16.140 makes it unlawful to willfully skip registration, skip filing a return, refuse supplemental data, or file a false or fraudulent return or claim.
Frequently Asked Questions
What is Newport Beach's hotel occupancy tax rate?
Do short-term rentals owe the tax the same as hotels?
How can a long-term guest avoid the tax?
What happens if a Newport Beach hotel operator remits late?
Sources & Official References
Other rules in Newport Beach
California rules heatmap·Compare Newport Beach to another location·View the California hotels & lodging overview
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Transient Occupancy Tax in Nearby Cities
How other cities in Orange County handle transient occupancy tax.