Bill > H2586

This bill proposes to create a new chapter in the Massachusetts General Laws to regulate lodging marketplaces. The key provisions are: 1. Defines "lodging marketplace" as a platform where an unaffiliated third party rents vacation or short-term rentals to occupants and collects the payment. 2. Requires lodging marketplaces to register with the Department of Revenue to collect applicable taxes on lodging transactions facilitated through their platform. 3. Imposes a 5% excise tax on the transfer of occupancy of any lodging accommodations through a lodging marketplace. 4. Establishes a Lodging Marketplace Trust Fund, where the collected excise taxes will be distributed - 50% to cities/towns for infrastructure improvements, 40% to the Massachusetts Clean Water Trust, and 10% to the Department of Revenue for administration and enforcement. 5. Allows municipalities to elect to assess and collect a local tax on lodging accommodations covered under this act. 6. Authorizes the Commissioner of the Department of Revenue to adopt regulations to carry out the purposes of this act.

Budget and Finance

https://malegislature.gov/Bills/190/H2586