Tax Exempt Changes at Hotels

Effective July 1, 2011 hotel guest affiliated with certain tax exempt entities will be required to pay all lodging taxes at the time of purchase.  Tax exempt entities recognized by the State of Utah may be eligible for tax exempt status for hotel stays but will need to file a refund claim for taxes paid from the Utah State Tax Commission.
There are a few exceptions to the change. You will not need to pay the tax upfront if you qualify as one of the following and sign a TC-721 or TC-721G certificate.
Exceptions to the new law are:

  1. Federal entities and registered diplomats

2.  Religious and Charitable organizations making purchases of $1,000 or more, or who have entered into a tax-exempt contract with the hotel.
If your organization qualifies for a reimbursement of sales or transient room tax please contact the Utah State Tax Commission for filing directions.
Find information and the necessary forms at www.tax.utah.gov.
If you have questions please contact the Utah State Tax Commission at 801-297-2200.

Leave a Reply

Your email address will not be published.