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Toronto Municipal Accommodation Tax Bookkeeping for Hotels and Short-Term Rentals

Toronto’s MAT rate is 6% for stays beginning August 1, 2026. The temporary 8.5% period ended July 31. Keep a stay-level tax schedule: the date a booking platform pays you is not enough to establish the correct charge.

Last reviewed September 6, 2026Toronto, Ontario

Use the rate and reporting route for the actual stay

Maintain the arrival and departure dates, room charge, refunds, exemptions, tax collected and party collecting it. For a payout crossing the August change, preserve the original booking detail rather than applying one rate to the entire deposit. Resolve unusual transition cases against the City’s guidance.

The hotel rules cover room accommodation of four hours or more and continuous stays of 30 days or less, subject to exemptions. Registered short-term rental operators use their own reporting route. Confirm the operator category before setting a calendar.

Illustrative calculation for an HST registrant

For an ordinary taxable $200 room charge at the 6% MAT rate, MAT is $12. Where the operator is an HST registrant and HST applies, 13% HST on $212 is $27.56, giving a guest total of $239.56. Keep the $200 room revenue, $12 MAT and $27.56 HST distinct.

A platform might deposit less after its fees. Match those fees and any platform-collected tax to the settlement report; do not reduce room revenue to the payout. MAT is accounted for through the City process, while HST belongs in the federal GST/HST workflow.

Calendar: hotel and short-term rental reporting differ

The City currently specifies these reporting and payment patterns. Preserve confirmation of submission separately from evidence that a payment was initiated.

Operator Reporting and payment timing
HotelMonthly, within 15 days after month-end.
Registered short-term rentalQuarterly: April 30, July 30, October 30 and January 30 for the preceding calendar quarter.

Platform collection does not remove the STR report

Registered short-term rental operators must file for each period, including nil activity and periods where a platform collected MAT. Follow the current portal instructions about excluding platform-reported revenue and nights from the relevant fields. Keep the full underlying record so the exclusions can be reconciled.

Before submitting, compare your booking schedule, platform tax report, MAT liability and payment history. A cancellation should point back to the original booking and period. Save the final report and receipt with any exemption evidence. That package lets a later reviewer distinguish an actual shortfall from a platform settlement still in transit.

Put this into practice

Sources and current guidance

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