MARYLAND HOTEL LODGING ASSOCIATION STATEMENT ON THE PASSAGE OF SHORT TERM RENTAL LEGISLATION (SB533/HB884)
Legislation seeks to level playing field for short-term rentals and ensure compliance with Maryland tax law
ANNAPOLIS, MD (April 8, 2019) – The Maryland Hotel Lodging Association (MHLA) released the following statement in support of the Maryland General Assembly’s passage of SB533/HB884 – Sales & Use Tax – Limited Residential Lodging – that seeks to ensure short-term rentals are operating in compliance with Maryland’s existing tax law.
“We applaud the Maryland General Assembly, House and Senate leadership, and bill sponsors, Senator Guy Guzzone, Senator Cory McCray and Delegate Nick Mosby, for passing this important legislation,” said Amy Rohrer, President and CEO of the Maryland Hotel Lodging Association. “SB533/HB884 is fiscally responsible legislation that helps to create a fair and competitive short term rental and lodging market in the State of Maryland, while also allowing the State to realize significant tax revenue for funding critical priorities.”
The bill imposes the State sales and use tax on specified short-term rental transactions facilitated by a short-term rental platform (Airbnb, HomeAway, etc.) and requires short-term rental platforms to collect and remit the State sales and use tax. According to the Maryland Department of Legislative Services, the State of Maryland could realize significant revenue by enforcing Maryland sales and use tax on short term rental operators.
Upon Governor Hogan’s signature, the legislation will take effect on June 1, 2019.
The Maryland Hotel Lodging Association (MHLA) is a trade-based membership organization representing Maryland’s $6 Billion lodging industry with more than 78,000 rooms in 700 hotels across the state. We provide advocacy, information, recognition and networking opportunities that benefit lodging industry owners, managers, associates, related businesses and communities in Maryland. www.mdlodging.org.