What's happening
This bill amends Ulster County's hotel and motel tax law to include short-term rentals and allows third-party platforms to collect the tax.
Why it matters
Expanding the tax to cover short-term rentals like Airbnb and VRBO means more rental properties will now be taxed. , not just traditional hotels and motels. This increases the tax base and could generate significant new revenue for Ulster County, potentially funding public services or infrastructure.
Including third-party hosting platforms in tax collection recognizes how the rental market has changed. with many stays now booked via digital platforms. This amendment makes it easier for the county to actually collect the tax, since platforms can automate collection and remittance, reducing tax evasion and administrative burdens on individual hosts.
Explicit definitions for “short-term rental unit,” “host,” and “hosting platform” provide legal clarity. , which could help prevent loopholes or legal gray areas. Clear language helps both hosts and the county understand their obligations, reducing confusion and potential lawsuits.
Formalizing voluntary agreements between the county and third-party platforms allows for negotiated, customized tax collection arrangements. , which can make enforcement more efficient and responsive to new business models as the short-term rental industry evolves.
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Who cares
Headline styles
Tax Short-Term Rentals
Plain English, a few words. Used as the page title.
Sponsors
Senator · Senate District 42
No co-sponsors yet.
History
- Referred to investigations and government operations
- Referred to investigations and government operations
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
6416
2017-2018 Regular Sessions
IN SENATE
May 17, 2017
Introduced by Sen. BONACIC -- read twice and ordered printed, and when printed to be committed to the Committee on Investigations and Government Operations
AN ACT to amend the tax law, in relation to including short term rentals as taxable under Ulster county's hotel and motel taxes
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Subdivisions 1 and 2 of section 1202-l of the tax law, as added by chapter 221 of the laws of 1991, are amended to read as follows:
(1) Notwithstanding any other provision of law to the contrary, the county of Ulster is hereby authorized and empowered to adopt and amend local laws imposing in such county a tax, in addition to any other tax authorized and imposed pursuant to this article, such as the legislature has or would have the power and authority to impose upon persons occupying hotel or motel rooms in such county.
For the purposes of this section, the term "hotel" or "motel" shall mean and include any facility providing lodging on an overnight basis and shall include those facilities designated and commonly known as "bed and breakfast" and "tourist" facilities.
Additionally, for purposes of this section, the following terms shall have the following meanings:
a. "Short-term rental unit" means an entire dwelling unit, or a room, group of rooms, other living or sleeping space, or any other space, made available for rent by guests for less than thirty consecutive days.
b. "Short-term rental host" means an owner or tenant of a short-term rental unit who rents such unit to guests.
c. "Hosting platform" means a person or entity who, pursuant to an agreement with a short-term rental host:
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD10878-02-7
S. 6416 2
(i) provides a platform for compensation through which unaffiliated third party short-term rental hosts can offer to rent short-term rental units; and
(ii) collects a fee in connection with either:
(A) providing the forum in which, or by means of which, the offer of occupancy of a short-term rental unit is accepted; or
(B) providing the forum in which a short-term rental host can list or advertise space in a short-term rental unit.
The rates of such tax shall not exceed two per cent of the per diem rental rate for each room, provided, however, such tax shall not be applicable to a permanent resident of such hotel or motel. For the purposes of this section the term "permanent resident" shall mean a person occupying any room or rooms in a hotel or motel for at least ninety consecutive days.
(2) Such tax may be collected and administered by the county treasurer of the county of Ulster by such means and in such manner as other taxes which are now collected and administered by such officer or as otherwise may be provided by such local law. It is expressly recognized that Ulster county has the authority to permit the county agency that administers such taxes to enter into voluntary agreements with any person or third party, including but not limited to hosting platforms, to permit such person, third party, or platform to collect and remit such taxes on behalf of the party or parties required to collect and remit them under the applicable statutes. The voluntary agreement shall be evinced by a signed, written agreement between the county agency that administers such taxes and the person or third party assuming the obligation to collect and remit the taxes.
§ 2. This act shall take effect immediately.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the tax law, in relation to including short term rentals as taxable under Ulster county's hotel and motel taxes
Purpose
To allow Ulster County to enter into voluntary agreements with third party hosting platforms to collect and remit occupancy taxes to Ulster County.
Summary of provisions
Section 1:Amends subdivisions 1 and 2 of section 1202-1 of the Tax Law to allow Ulster County to enter into voluntary agreements with third party hosting platforms to collect and remit occupancy taxes to Ulster County.
Section 2:Effective date.
Justification
This bill has been introduced at the request of Ulster County to improve their ability to ensure the collection and remittance of occupancy taxes to Ulster County for short term rentals that are conducted through online hosting platforms.
Legislative history
New bill.
Fiscal implications
None to the state.
Effective date
This act shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.