Transient Occupancy Tax

Tax Rates

The Town of Truckee's total guest levy is 13.25%. The Transient Occupancy Tax (TOT) rate is 12% and the Truckee Tourism Business Improvement Assessment (TTBID) is 1.25%. 

TOT is remitted quarterly through the Short Term Rental Portal. 

View directions on how to file within the portal (PDF).

Required Registration

All short-term rentals (STRs) are required to apply and obtain an Annual Transient Occupancy Registration Certificate, pay a non-transferable annual fee, and adhere to short-term rental requirements. There is a 1,255 cap on the number of certificates available. 

Learn more about the Short-Term Rental Program and find out how to get on the waitlist.

General Information

A short-term rental is a stay of less than 31 continuous nights. Short-term rentals in the Town of Truckee are subject to both Transient Occupancy Tax (TOT) and a Truckee Tourism Business Improvement District (TTBID) assessment. The rates of TOT/TTBID are a percentage of rents received on short-term rentals. Taxes and Assessments are paid by short-term renters/guests, collected by STR operators, and remitted to the Town of Truckee on a quarterly basis.

Beginning January 1, 2021 the rates are as follows:

• 13.25% - Total guest levy
  • 12% - Transient Occupancy Tax  (TOT). Rate is 10% + 2% Measure K
  • 1.25% - Truckee Tourism Business Improvement District Assessment (TTBID)

Transient Occupancy Tax (TOT)

Transient Occupancy Tax, also known as bed tax, is a lodging tax paid by short-term renters/lodgers, collected by property owners (hotels, vacation rentals, etc.) and remitted to the Town of Truckee. Transient Occupancy Tax is authorized under State Revenue and Taxation Code Section 7280, as an additional source of non-property tax revenue to local government, and was adopted by Truckee’s Town Council in 1993. Prior to 1993 and the incorporation of the Town of Truckee, the Transient Occupancy Tax was collected by Nevada County, the municipal authority of the area.

Amounts paid to the Town are General Fund revenues and used for general business of the Town including road maintenance, snow removal, trail operation & maintenance, police services, and other Town business.

The Town's TOT rate is 12% of taxable rents on all short-term rentals. Voter-approved Measure K increased the TOT rate from 10% to 12%  in January of 2021. Measure K provides local funding for general Town services such as affordable and achievable housing, open space preservation, and wildfire preparation; the measure sunsets after 20 years.

Truckee Tourism Business Improvement District (TTBID) Assessment 

The Truckee Tourism Business Improvement District (TTBID) is a self-assessment by short-term rental and hotel owners originally approved by assessed businesses in 2015 and renewed for a five-year term in September 2020. This assessment decreased from 2% to 1.25% on January 1, 2021.

On September 22, 2020, the Truckee Town Council adopted a Resolution of Renewal for a Truckee Tourism Business Improvement District (TTBID), designating Visit Truckee (d.b.a. Visit Truckee-Tahoe) as the TTBID Owners Association. This benefit assessment district helps fund marketing and sales promotion efforts and destination management as a special benefit for assessed lodging businesses in Truckee.

The TTBID assessment is collected by the property owner or manager in addition to the Transient Occupancy Tax (TOT). The TTBID assessment is collected by the Town of Truckee on behalf of Visit Truckee. The funds are remitted to Visit Truckee and the Visit Truckee Board of Directors is responsible for determining its use in accordance with its enabling Management District Plan. 

For more information, please email Colleen Dalton, CEO of Visit Truckee-Tahoe, or call 530-536-0540.

Quarterly Tax Returns

A tax return for must be filed quarterly. Returns include both the Transient Occupancy Tax (TOT) and the Truckee Tourism Business Improvement District (TTBID) Assessment. Completed returns and any payment due are subject to late payment penalties and interest if the payment is not postmarked by the first of the month following the end of a quarter. You must file a return each quarter, regardless if there were rentals during the quarter.

There is no charge for ACH payments, but there is a fee to process a credit card payment.

Reporting Periods

Taxable Receipts

Taxable rents/receipts include but are not limited to, nightly rents, weekly rents, standard cleaning fees, cancellation charges, pet fees, forfeited deposits, reservation and booking fees,  internet charges, late check-out fees, extra person fees, resort fees and insurance premiums, and any other mandatory fees.

Taxable rents/receipts exclude but are not limited to, equipment charges (i.e. roll-away beds, cribs, etc.), refundable deposits, optional insurance premiums, valet services, parking permits/fees, golf fees, phone charges, in-room movie charges and items subject to CA Sales tax (i.e. taxable meals).

Late Penalties & Interest

If payment is late, the sum of the following two penalties apply and is calculated based on the number of months delinquent.  For number of months delinquent, round up to the nearest whole month.

• Late Payment Penalty
  • Up to 30 days late - 10% of taxes due if paid on time
  • 31 to 60 days late -  20% of taxes due if paid on time 
  • 61 to 90 days late - 30% of taxes due if paid on time
  • 91 to 120 days late - 40% of taxes due if paid on time
  • More than 120 days late - 50% of taxes due if paid on time 
• Interest Penalty of 1.5%
  • Number of months delinquent multiplied by 0.015 multiplied by taxes due if paid on time equals Interest Penalty

Tax Collection

Many platforms allow you to add TOT/TTBID as a line item on your listing, to ensure the tax is paid for by the guest (as intended). The platform will collect the tax from guests and include it in your payouts. You are then responsible for remitting it to the Town.

• Vrbo Instructions (Scroll down to "Collect my taxes and send them to me")
• Airbnb Instructions

Listing platforms, like Airbnb, do not automatically collect and/or remit TOT for any property in the Town of Truckee. It is the owner's responsibility to remit TOT quarterly.

Compliance

Violations of the short-term rental ordinance, including failure to register and/or remit taxes, are subject to administrative citations.

The Town also conducts periodical audits on registered properties to ensure they are remitting taxes accurately.

If you are visiting this page after receiving a letter from the Town of Truckee regarding Short-Term Rental compliance requirements, including the Transient Occupancy Tax (TOT), we thank you for your efforts to comply.

The Town of Truckee contracts a consultant, GovOS, to analyze homes or rooms offered for short-term rental on the internet in order to verify that properties are registered with the Town and paying their fair share of taxes.  GovOS's data-mining technology enables the Town to identify properties that are being listed for rent but are not registered with the Town.

Persons knowing of an operator which is not charging occupancy taxes are encouraged to email our office or call 530-582-5280.

Contact Us

Email the Town of Truckee or call 530-582-5280.