Hotel Occupancy Tax

Requirements

Every person owing, operating, managing or controlling any hotel or collecting payment for occupancy in any hotel shall collect the Hotel Occupancy Tax from their guests for the City of Sanger.

A hotel is any building or buildings in which the public may obtain sleeping accommodations for a cost of $2 or more each day for a consecutive duration of 30 days or less. This includes, without limitation, hotels, motels, tourist homes, vacation rentals by owner, houses or courts, lodging houses, inns, hostels, rooming houses, bed and breakfasts, short-term vacation rentals or other buildings where rooms are furnished for consideration. This does include Airbnb properties. This does not include hospitals, sanitariums or nursing homes.

The revenue derived from the Hotel Occupancy Tax is used to promote tourism and the convention and hotel industry in Sanger.

Tax Rate

The City's Hotel Occupancy Tax rate is 7%. The City's tax is in addition to the 6% rate imposed by the State of Texas, which must be remitted separately to the State. For information on the State Hotel Occupancy Tax, please visit the Texas Comptroller website or phone 800-252-1385.

Reporting Requirement

Every person required to collect the Hotel Occupancy Tax must file a Report of Hotel Occupancy Tax with the City of Sanger showing the consideration paid for all room occupancies in the preceding calendar quarter, the amount of permanent (30-day) and other exemptions granted, and the amount of the tax collected on such occupancies. A payment in the amount of the tax collected must accompany this report. Reports and payments are due on the 30th day of the month following each quarterly reporting period. Please note that a report is required even if no taxes are collected during the quarter.

Reporting Period

  • January through March
  • April through June
  • July through September
  • October through December

Report Due Date

  • April 30th
  • July 30th
  • October 30th
  • January 30th

Download the Hotel Occupancy Tax Report Form (PDF).

If the due date falls on a weekend or holiday, the next business day is considered the due date. The valid USPS postmark date will be considered the payment date. In addition, because postmark dates may be controlled internally by using mailing machines, the City must receive the report within 5 business days from the postmark date, or the return will be considered delinquent.

On the first day after the due date of the report, a 15% penalty will be assessed on the tax due. The tax imposed by this city ordinance that is not paid when it is due shall draw interest at a monthly rate of 1% from the due date. Certain state employees (judicial officials, heads of agencies and members of state boards and commissions) are exempt from paying local taxes.

Airbnb Hosts

The option for Airbnb to collect and remit local occupancy taxes on behalf of the host is not currently available in Texas. Hosts in the City of Sanger will need to charge their guests a 7% occupancy tax and remit payment to the City of Sanger following the same instructions for hotels mentioned above. Please visit the Airbnb website for further information.