Bill > HB1480

This bill increases the meals and rooms (M&R) tax rate in New Hampshire from 8.5% to 9% across various types of charges. Specifically, the bill modifies the existing tax structure by raising the percentage rate for room rentals and meals over $1.00 from 8.5% to 9%. For meals under $1.00, the bill maintains a tiered tax structure based on the price of the meal, with specific cent amounts applied to different price ranges. The tax increase will apply to both room rentals and prepared meals, with operators required to collect and remit the taxes to the state. According to the fiscal note, this tax rate increase is projected to generate additional revenue for the General Fund and Education Trust Fund, with an estimated $20.9 million increase in fiscal year 2027 and $28 million in fiscal year 2028 and beyond. Municipalities will also benefit, as they receive 30% of the prior fiscal year's M&R tax revenue through the Meals and Rooms Municipal Revenue Fund. The bill is set to take effect 60 days after its passage, with the fiscal impact beginning in October 2026, assuming the bill is passed by September 1, 2026.

Budget and Finance

https://gc.nh.gov/bill_Status/billinfo.aspx?id=2051&inflect=2