If you take a week off each summer to vacation in Nantucket or Martha’s Vineyard or on the Cape, you’ve been lucky enough to be able to rent a place without paying any tax.
At least, so far.
A five percent hotel tax may be coming to a timeshare near you. A bill proposed by State Rep. Cleon Turner, D-Dennis, would allow towns to expand the Room Occupancy Tax Statute (commonly referred to as the hotel/motel tax) to include private rentals and timeshares.
The tax currently only applies to rooms in bed and breakfasts, hotels/motels and lodging houses. The expansion would allow communities, if they choose, to apply the tax to homes, apartments, condos, and timeshares when rented for 90 consecutive days or less. Town meeting approval would be needed to expand the tax; however with many towns looking for revenue sources other than property taxes, it’s quite possible many communities would implement the measure if approved by state lawmakers.
The bill has been sent to the Massachusetts Legislature’s Committee on Revenue but a hearing has not yet been scheduled.
Source: Greater Boston Real Estate Board (2nd item)