Mesquite, TX Short-Term Rentals: Taxes & Fees (2026)
Key Facts
- Authority
- State HOT: 6% (Texas Tax Code Ch. 156)
- Authority
- Mesquite municipal HOT: 7% (Tax Code Ch. 351)
- Authority
- Combined rate ~13% on stays under 30 days
- Requirement
- Must register with Texas Comptroller and City Finance
- Rule
- Marketplace remittance may not cover city portion
Summary
STRs in Mesquite must collect Texas state hotel tax (6%) plus the Mesquite municipal hotel occupancy tax (7%), totaling roughly 13% on stays under 30 days.
Sec. 351.002. TAX AUTHORIZED. (a) A municipality by ordinance may impose a tax on a person who, under a lease, concession, permit, right of access, license, contract, or agreement, pays for the use or possession or for the right to the use or possession of a room that is in a hotel, costs $2 or more each day, and is ordinarily used for sleeping... (c) The tax does not apply to a person who is a permanent resident under Section 156.101 of this code. Sec. 351.003. TAX RATES. (a) Except as provided by this section, the tax authorized by this chapter may be imposed at any rate not to exceed seven percent of the price paid for a room in a hotel.
Full Breakdown
Stays of fewer than 30 consecutive days at a Mesquite short-term rental are subject to Texas state hotel occupancy tax (6%) under Tax Code Chapter 156, plus the City of Mesquite municipal hotel occupancy tax (7%) under Tax Code Chapter 351 - for a combined rate of approximately 13%. Operators must register with the Texas Comptroller for state HOT and with the City of Mesquite Finance Department for municipal HOT, then file returns (typically monthly or quarterly) and remit collected taxes. Some marketplaces (Airbnb, Vrbo) collect and remit state HOT automatically but may not handle the city portion - operators remain responsible for verifying compliance. Failure to register and remit can result in back taxes, penalties, and interest. There is no separate STR business license fee at this time, but state sales tax does not apply to lodging.
Frequently Asked Questions
Does Airbnb collect Mesquite hotel tax for me?
Are stays of 30+ days taxable?
Sources & Official References
Other rules in Mesquite
How Mesquite compares: Cities with the Highest Short-Term Rental Taxes·Texas rules heatmap·Compare Mesquite to another location·View the Texas short-term rentals overview
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