Types of Tax Due – Short-Term Lodging

These taxes only apply when you provide a rental for 30 days or less.

Taxes you forward to the Tax Commission

You might need to charge one or more of these taxes:

  • Idaho sales tax when you provide sleeping rooms and nonsleeping rooms.
  • Travel and Convention tax when you provide sleeping rooms.
  • An auditorium district tax when you provide sleeping and nonsleeping rooms within an auditorium district’s boundaries, except campground charges.

This chart shows which taxes are due for specific lodging types:

Accommodation TypeIdaho Sales TaxTravel & Convention TaxAuditorium District Tax
Sleeping room at a hotel, motel or resortTaxableTaxableTaxable
Meeting room at any lodging providerTaxableNot taxableTaxable
Bed & BreakfastTaxableTaxableTaxable
Overnight spaces in campgrounds or RV parks that an Idaho government agency owns or operatesTaxableNot taxableNot taxable
Overnight spaces in campgrounds or RV parks that any other provider operates (other than the federal government)TaxableTaxableNot taxable
Day-use spaces in any campgroundTaxableNot taxableNot taxable
CabinTaxableTaxableTaxable
Vacation homeTaxableTaxableTaxable
Private residenceTaxableTaxableTaxable

Other charges and amenities

The fee to rent lodging can include additional property and services.

This list of pdf common additional charges for property and services shows the taxes you must charge for each. You forward all of these taxes to the Tax Commission.

Taxes local governments collect

You might need to charge local taxes and forward them to the local governments that administer them. See “Local Sales Tax” for more information.

Loyalty and rewards programs

You might need to charge customers tax on the value of a free room if you have a loyalty or rewards program that gives them free nights. The “value” is the amount the customer would have paid for the room.

Charge room taxes* on the value of the free room if both of these are true:

  • A third party administers your rewards program.
  • Customers can pay for nights with points earned through credit card purchases, by buying points directly from the third party, or by other means.

Don’t charge room taxes on the free night if both of these are true:

  • You administer your own rewards program.
  • You can clearly document that the customer received a free night of lodging as a reward for staying “x” number of nights.

Also, don’t charge room taxes if the free night applies to a stay that qualifies for an exemption (e.g., it’s part of a continuous stay longer than 30 days). However, you must document the stay as an exemption.

* “Room taxes” include sales tax, travel and convention tax, and any auditorium district tax that applies to your area.