Anyone who charges for the rental of a hotel, motel, or transient accommodation is a seller and must register for the collection and remittance of all applicable taxes, fees, or assessments (New Jersey State Sales Tax, State Occupancy Fee, Municipal Occupancy Tax (if applicable), and in some cases other municipal fees).
A registration application must be filed at least 15 business days prior to the first rental occurring on and after October 1, 2018, but no sooner than September 20, 2018.
Register to Collect Taxes and Fees
If a Lessee pays you directly for a rental property, you are responsible for collecting all taxes and fees with the payment.
To remit payment, you will need to register.
- 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 to rent out transient accommodations in New Jersey, 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.
Contact us for any registration questions.
A transient accommodation is exempt from all taxes and fees if the lessee/renter:
- Occupies the rental accommodation for at least 90 consecutive days (“permanent resident” exemption);
- Books the rental through a licensed real estate broker and picks up keys or other means of physical entrance to the property at the broker’s offsite location;
- Is a New Jersey State agency, New Jersey political subdivision, federal agency, the United Nations, or any international organization of which the United States is a member, as long as the rental is paid with government funds; or
- Books a rental excluded from tax.
See below for a list of examples of taxable and exempt rentals.
- Hotel/motel rooms
- Rooms in a private house
- Vacation Houses
- Realtor brokered transactions, where the key or other means of physical entrance to the property is picked up at the realtor’s offsite location
- Rentals of 90 consecutive days or more
- Certain government agencies
- Camp or campground residential facilities (cabin, lean-to, etc.)
- School dormitories or residential facilities
- State licensed care facilities (hospital, nursing home, etc.)
- Assembly Rooms or spaces
Using a Transient Space Marketplace or Third-Party Platform
Some third-party platforms may collect and remit taxes and fees on behalf of the property owner. If you solely use a third-party platform to complete the transaction on your behalf, you do not have to register as a seller. Check with the individual platform to confirm that the tax will be properly collected. You are responsible to collect all applicable taxes and fees if the third-party platform does not.
Note: You do not have to register if all of your rental transactions are:
- Rented through a third-party platform that collects and remits all taxes and fees for you; or
- Booked through a licensed real estate broker where the lessee/renter picks up keys or other means of physical entrance to the property at the broker’s offsite location; or
- Other types of rentals excluded from tax (see list above).
You must separately state on any bill, receipt, or statement provided to the renter:
Keep detailed track of your rentals, including correspondence detailing rental charge, taxes, fees, etc.
You must file a New Jersey Sales Tax Return (ST-50) quarterly and Hotel/Motel Occupancy Fee and a Municipal Occupancy Tax Return (HM-100) monthly. In addition, you may need to remit other taxes and fees if your property is in certain areas.
Anyone renting, as well as marketplaces, must retain all applicable documentation on the rentals.