Hotels & Motels
01-01-2011 the City's Transient Lodging Tax (TLT) rate increased
from three percent (3%) to five percent (5%).
You owe tax on hotels and motels if:Guest room charges
Meeting/banquet room charges
Local telephone call charges
Commissions received on vending machine income
Tax rate on hotels and motels
You are operating a hotel or motel in the city.
Examples of hotel/motel income which is taxable includes, but is not limited
transaction privilege tax rate on hotels/motels is 1.75% of gross income.
(Note: The Mesa City Tax rate increased to 1.75% effective 07/01/2006) In
addition to the transaction privilege tax, hotels/motels area also subject
to the Transient Lodging Tax, which is
discussed below.Collection of Transaction Privilege Tax
You may choose to charge the transaction privilege tax separately on each
sale, or include transaction privilege tax in your price. If you over charge
any tax to your customers, you must remit the excess tax to the city.
If your price includes transaction privilege tax, you can compute how much
of the total price is transaction privilege tax. You may deduct the total
city, state, and county transaction privilege taxes from your gross
You are also required to have a
Transient Lodging Tax License