The Municipal Accommodation Tax is a new revenue tool that the provincial government has given Ontario municipalities to further promote tourism as an economic driver.
| Program background and legislation |
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The Province of Ontario enacted Bill 127, Stronger, Healthier Ontario Act, 2017, providing municipalities the authority to levy a transient accommodation tax. On December 1, 2017, the Transient Accommodation Regulation 435/17 came into force outlining provisions for municipalities across Ontario to implement a Municipal Accommodation Tax (MAT). The Regulation applies if a municipality imposes a tax in respect of the purchase of transient accommodation in the municipality under section 400.1 of the Municipal Act. Huntsville By-Law 2019-123, approved the implementation of a four percent (4%) mandatory MAT applicable on all accommodations under 30 days. The MAT applies to all accommodation sold for a continuous period of less than 30 days in a hotel, motel, lodge, inn, short term rental (STR), or bed and breakfast. |
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Bylaws and policies |
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Who needs to collect the MAT? |
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Any providers offering rentals of less than 30 days are required to charge and collect Municipal Accommodation Tax. These providers include:
Short term rental providers are required to be licensed, unless the property is zoned commercially. For information on licensing, please see the Short Term Rental Accommodations Licensing page. |
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When and how to charge the MAT? |
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The 4% MAT applies only to accommodation revenue, not other incidental charges (ex: cleaning, security deposits or other taxes/fees). The MAT is intended to be a flow through tax which is collected by the provider and remitted to the Town of Huntsville. It is generally charged to the renter as an additional tax on the accommodation. |
Where do the MAT funds go?
The tax will generate funding to promote and develop tourism within Huntsville.
A portion (at least 50% annually) of the net MAT revenues received will be directed towards the Huntsville Municipal Accommodation Tax Association. This organization will direct funds towards tourism promotion and development with a focus on attracting more visitors to the Town through sports and cultural events, new product developments, and enhanced attractions and outdoor activities.
The remaining net MAT revenues received will be retained by the Town of Huntsville. The funds will be earmarked for projects and initiatives that promote and support tourism and economic development efforts that benefit residents and visitors.
For a listing of eligible projects/initiatives, see Section 2 (pages 1 and 2) of the Municipal Accommodation Tax Budget Principles Policy.
For more information on projects funded through the MAT, please contact the Town’s Economic Development Officer.
Key reporting dates
Short term rental providers, including bed & breakfasts, are required to report and remit quarterly.
| Short term rentals and bed & breakfasts reporting dates | ||||||||||
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Hotels, motels, lodges and inns are required to report and remit monthly.
| Other providers (hotels, motels, lodges and inns) reporting dates | ||||||||||||||||||||||||||
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Payment options
The MAT is payable by the following methods:
| In person |
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Monday to Friday from 8:30 am – 4:30 pm at Town Hall 3rd floor Methods: Cash, Debit, Credit, Cheque or Money Order |
| Note: Do not send cash in the mail
Methods: Cheque or Money Order payable to: Town of Huntsville |
| Drop box |
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Use the drop box, located at the back doors of Town Hall on High Street Methods: Cheque or Money Order payable to: Town of Huntsville |
| Online |
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Using the online reporting form Methods: Credit |
Frequently asked questions
| I heard Airbnb is collecting and remitting the 4% MAT on my behalf, is this correct? |
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The 4% Municipal Accommodation Tax for Huntsville properties is not currently being collected by Airbnb and they are not submitting reports to the Town of Huntsville with respect to the MAT. Airbnb is very specific about the jurisdictions that the MAT is collected in – these jurisdictions are listed on the Airbnb website. Please contact Airbnb directly for instructions on how to set up the MAT pricing on your listing. |
| What projects have been funded through the MAT? |
Projects funded through the Town retained portion of the MAT include:
The Huntsville Municipal Accommodation Tax Association has also funded several tourism & economic development projects. For more information on projects funded through the MAT, please contact the Town’s Economic Development Officer. |
| Why did Huntsville set the MAT at 4%? Is this comparable to other municipalities? |
| The Town of Huntsville set the MAT rate at 4% for consistency with other municipalities in the province. The MAT rate of 4% is consistent with other Ontario municipalities that have implemented a Municipal Accommodation Tax policy. |
| Why is the Town of Huntsville collecting the MAT directly? |
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The Town of Huntsville will no longer be using a third party provider to collect the MAT. This decision was made to provide greater clarity and one point of contact for all providers. This transition will also allow for more efficient reporting and remittance for all providers through online forms and payment options. |
| What happens if I do not report or remit? |
| All providers are required to report and remit under the Consolidated Municipal Accommodation Tax By-law 2019-123. Non compliance may be subject to Administrative Penalties (per Section 13 of Bylaw 2019-123) and/or interest at 1.25% per month (per Sections 8 and 9 of Bylaw 2019-123). |
| Why is Huntsville no longer accepting e-transfers? |
| Unfortunately, the Town of Huntsville does not accept e-transfers at this time. There are several convenient and secure payment options including paying directly on your reporting form. |