Transient accommodations are becoming more common-place. As of October 1, 2018, an extension of current law includes transient accommodations not previously subject to tax as hotels and motels.
All transient accommodations are subject to New Jersey Sales Tax, State Occupancy Fee, the Municipal Occupancy Tax (if applicable), and in some cases, other municipal taxes, fees, and assessments. This applies to rentals booked through a third-party platform or directly with a renter.
New for 2018: Due to the expansion of the law regarding transient accommodations, municipalities may need to amend their local ordinances to include additional types of transient accommodations before the Municipal Occupancy Tax (if applicable) can be collected.
A transient accommodation is exempt from all taxes and fees if the lessee/renter:
If you rent or operate a transient accommodation, you may need to register with the State to collect and remit taxes and fees at least 15 business days prior to the first rental occurring on and after October 1, 2018, but no sooner than September 25, 2018.
If you are not currently registered, we are creating a new online application to register as a renter of transient accommodations. If the application is not available by September 25, 2018 then register using Form NJ-REG; or
If you are already registered in New Jersey to rent out transient accommodations, but not to collect New Jersey Sales Tax, the State Occupancy Fee, or the Municipal Occupancy Tax (if applicable), you will need to amend your registration by completing Form NJ-REG-C-L. (see below)