Skip to main content
CityRuleLookup
Key FactsOrdinance TextFull BreakdownViolationsFAQSourcesMore in Monterey County

Monterey County, CA Hotels & Lodging: Transient Occupancy Tax (2026)

Some Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified September 2026

Key Facts

Tax rate
10.5% of rent, unincorporated area only
Enforcing office
Monterey County Treasurer-Tax Collector
Registration deadline
Within 30 days of commencing business
Filing frequency
Quarterly, due end of following month
Late penalty
10% original, +10% after 30 days, 25% fraud
Interest
1.5% per month on unpaid tax

Summary

Monterey County collects a 10.5 percent transient occupancy tax on every hotel, motel, inn, mobile home and licensed vacation rental stay of 30 days or less in the unincorporated area, under Monterey County Code Chapter 5.40. Operators collect the tax with the rent, register with the Treasurer-Tax Collector within 30 days of opening, and remit quarterly; incorporated cities like Salinas and Monterey set their own separate rates.

City-specific rules exist: Salinas has its own transient occupancy tax rules that differ from Monterey County's county-level regulations. If you live in Salinas, check the city-specific page instead.

For the privilege of occupancy in any hotel, each transient is subject and shall pay a tax in the amount of ten and one-half (10.5) percent of the rent charged by the operator. The tax constitutes a debt owed by the transient to the County which is extinguished only by payment to the operator or to the County.

View official code

Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: Code of Ordinances: Supplement 56).

Full Breakdown

40, imposes the county's hotel tax only within the unincorporated area; Salinas, Monterey, Seaside, Marina, Carmel-by-the-Sea, Pacific Grove and King City each set and collect their own occupancy tax under their own city codes. 5 percent of the rent charged by the operator. 060 and must be stated separately from the room charge; the operator may not advertise that the tax is absorbed into the rate. 070. 080, and all collected tax is held in trust for the County until remitted. 5 percent monthly interest on the unpaid tax. 130. 050.

Violations & Fines

Failing to register, collect, or remit the 10.5 percent tax exposes an operator to the Tax Collector's determination of the amount due, a 10 percent original delinquency penalty, an additional 10 percent after 30 days, a 25 percent fraud penalty where nonpayment is willful, and 1.5 percent monthly interest under Section 5.40.090. The county can also treat unpaid tax as a debt collectible by civil action, and disputed assessments must be appealed to the Tax Collector within 10 days or they become final.

Frequently Asked Questions

What is Monterey County's transient occupancy tax rate?
Under Monterey County Code Section 5.40.030, every transient pays 10.5 percent of the rent charged for occupying a hotel, motel, inn, or licensed vacation rental in the unincorporated area for 30 consecutive days or less. The operator collects the tax with the rent and remits it to the Treasurer-Tax Collector; it applies only outside incorporated cities, which set their own local rates.
Do vacation rentals in unincorporated Monterey County pay this tax?
Yes. Vacation rental operators must obtain a Transient Occupancy Tax Certificate under Chapter 5.40 before renting, and the definition of 'hotel' in Section 5.40.020 expressly covers time-share and condominium conversion facilities zoned visitor-serving as well as other short-term lodging; the 10.5 percent tax applies to the rent charged for stays of 30 days or less.
What happens if an operator doesn't remit the tax on time?
Section 5.40.090 imposes a 10 percent penalty for an original delinquency, an additional 10 percent if still unpaid 30 days later, a 25 percent penalty for fraud, and 1.5 percent monthly interest on the unpaid tax. The Tax Collector can also independently determine the amount owed and assess it against the operator.
Is a Monterey County hotel stay by a federal employee exempt?
Federal employees traveling on official business can claim exemption from the tax under Section 5.40.050 by showing satisfactory credentials at the time rent is collected, filing a separate exemption claim for each room. State and local government employees and contractors, however, are specifically not eligible for the exemption.

Sources & Official References

Other rules in Monterey County

Parking Rules: EV ChargingSome RestrictionsAnimal Ordinances: Veterinary Clinic ZoningSignificant RestrictionsAnimal Ordinances: Pet Groomer RulesSignificant RestrictionsFire Regulations: Smoke DetectorsSignificant RestrictionsLandscaping Rules: Rainwater HarvestingLight RestrictionsLandscaping Rules: Native PlantsSome Restrictions

All Monterey County rules

California rules heatmap·Compare Monterey County to another location·View the California hotels & lodging overview

Get notified when Transient Occupancy Tax in Monterey County, CA changes

We'll email you the moment we detect a change in the code. No spam, unsubscribe anytime.

We'll never sell or share your email. One-click unsubscribe in every email.

See something wrong?

Help us keep this page accurate. If you notice an error or outdated information, let us know.

Transient Occupancy Tax in Cities Across Monterey County

Salinas, CA