New York Hotel Room Occupancy Tax Surcharge No Longer Applies (For Now)

By Jesse Sokolow on 9 December 2013
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Reception desk at New York's Waldorf-Astoria: no tax surcharge collected here

Reception desk at New York’s Waldorf-Astoria: no tax surcharge collected here

Guests staying at New York City hotels are benefitting from a small and possibly brief tax holiday as the city’s surcharge on its hotel room occupancy tax, which adds 0.875% to the bill in addition to the 5% tax, expired on November 30.  As a result, hotels are no longer able to include it on a guest’s bill.  This week, lawmakers have moved to retroactively extend it, according to a memo obtained by the Insider, a news organization.

Although the higher surcharge has expired, the city’s Department of Finance website still listed the rates as current as of Monday evening.  However, hotels cannot legally charge the tax to a guest.

Bloomberg Administration and City Council sources reportedly blame each other for not introducing a bill in time to extend the surcharge before it expired.

The City Council could potentially pass the bill to extend the surcharge on December 19, at its final scheduled meeting of the year.

(Photo: Accura Media Group)

Accura News

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