Delaware News


Division of Revenue Releases Guidance on New Short-term Rental Lodging Tax

Division of Revenue | Date Posted: Wednesday, November 20, 2024


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Revenue Releases Technical Information Memorandum (TIM) on New Short-term Rental Lodging Tax

Statewide, DE (November 20, 2024) – Division of Revenue released technical guidance on the new short-term rental lodging tax on November 15, 2024. The Technical Information Memorandum (TIM) provides uniform definitions, describes the responsibilities of the accommodations intermediaries, and lays out the interest and penalties related to the failure to file tax returns, failure to provide a complete return with all required information, or to remit payment of the tax.

Pursuant to House Substitute 2 for House Bill 168 as amended by House Amendment No. 1 that was signed into law on September 30, 2024, Delaware has imposed a short-term rental lodging tax at the rate of 4.5% of the rent upon every occupancy of a short-term rental within this State. This new tax goes into effect for short-term rental agreements entered into on or after January 1, 2025. Effective immediately, accommodations intermediaries are required to obtain an annual Delaware accommodations intermediary business license via onestop.delaware.gov prior to conducting accommodations intermediary services.

If you have questions about the new short-term rental lodging tax, please contact John McKinny with the Delaware Division of Revenue at (302) 577-8200.

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Division of Revenue Releases Guidance on New Short-term Rental Lodging Tax

Division of Revenue | Date Posted: Wednesday, November 20, 2024


Picture of the Delaware Division of Revenue logo

Revenue Releases Technical Information Memorandum (TIM) on New Short-term Rental Lodging Tax

Statewide, DE (November 20, 2024) – Division of Revenue released technical guidance on the new short-term rental lodging tax on November 15, 2024. The Technical Information Memorandum (TIM) provides uniform definitions, describes the responsibilities of the accommodations intermediaries, and lays out the interest and penalties related to the failure to file tax returns, failure to provide a complete return with all required information, or to remit payment of the tax.

Pursuant to House Substitute 2 for House Bill 168 as amended by House Amendment No. 1 that was signed into law on September 30, 2024, Delaware has imposed a short-term rental lodging tax at the rate of 4.5% of the rent upon every occupancy of a short-term rental within this State. This new tax goes into effect for short-term rental agreements entered into on or after January 1, 2025. Effective immediately, accommodations intermediaries are required to obtain an annual Delaware accommodations intermediary business license via onestop.delaware.gov prior to conducting accommodations intermediary services.

If you have questions about the new short-term rental lodging tax, please contact John McKinny with the Delaware Division of Revenue at (302) 577-8200.

###

image_printPrint

Related Topics:  , , ,


Graphic that represents delaware news on a mobile phone

Keep up to date by receiving a daily digest email, around noon, of current news release posts from state agencies on news.delaware.gov.

Here you can subscribe to future news updates.