Hotel Room Tax

Baltimore City Code art. 28, div. III, subtit. 21

in effect

Baltimore City Code, Article 28, § 21-1 Definitions.

§ 21-1. Definitions. (a) In general. In this subtitle, the following terms have the meanings indicated. (b) Gross amounts of money. “Gross amounts of money” means the total gross payments of any kind or character (including cash, credit, property, and services), whether received in money or otherwise, without any deduction for charges or other amounts for any services necessary to complete the transaction. (c) Hotel. “Hotel” means a building containing sleeping accommodations for more than 5 persons and open to the transient public. (d) Owners or operators of hotels. “Owners or operators of hotels” means any person: (1) possessing or having an ownership interest in a hotel; (2) engaged in the business of operating a hotel; or (3) receiving any consideration for the rental of a hotel room for sleeping accommodations, including, without limitation, any broker, service provider, or other intermediary: (i) with which a hotel has contracted to arrange for the rental of a hotel room for sleeping accommodations; or (ii) that has acquired any hotel room for subsequent rental from the hotel for sleeping accommodations. (e) Short-term residential rental (and related terms). “Short-term residential rental” and related terms (such as “booking transaction”, “dwelling unit”, “host”, “hosting platform”, and “transient guest”) have the respective meanings stated in City Code Article 15, Subtitle 48 {“Short-Term Residential Rentals”}. (f) Transient guest or tenant. “Transient guest or tenant” means a person or persons renting, using, or occupying a room or rooms for fewer than 90 consecutive days: (1) in a hotel for sleeping accommodations; or (2) in a dwelling unit for a short-term residential rental. (Ord. 19-217; Ord. 07-495; Ord. 89-319; Ord. 82-705; Ord. 80-028; Ord. 57-1096.)

Baltimore City Code, Article 28, § 21-2 Tax imposed.

§ 21-2. Tax imposed. A tax of 9.5%, to be paid and collected as provided in this subtitle, is levied and imposed on all gross amounts of money that are: (1) paid to the owners or operators of hotels in the City by transient guests or tenants for renting, using, or occupying a room or rooms for sleeping accommodations; (2) paid to hosting platforms by transient guests for booking or otherwise facilitating short-term residential rentals; or (3) paid to hosts by transient guests for providing short-term residential rentals. (Ord. 19-217; Ord. 10-299; Ord. 07-495; Ord. 04-845; Ord. 94-378; Ord. 89-319; Ord. 82-705; Ord. 80-028; Ord. 57-1096.)

Baltimore City Code, Article 28, § 21-4 Collections.

§ 21-4. Collections. (a) Tax to be collected and remitted. Every person, firm, association, or corporation subject to the tax imposed by § 21-2 {“Tax imposed”} of this subtitle: (1) shall collect the tax levied and imposed by this subtitle from the persons paying the rental or other charges for the use or occupancy of any room or rooms for sleeping accommodations; and (2) shall pay the tax to the Director of Finance on or before the 25th day of each month. (b) Forms. At the same time that any such payment is made to the Director of Finance, the party making such payment shall file with the Director of Finance a statement, on such forms as may be prescribed by the Director of Finance, showing the amount of taxes collected during the preceding period, and setting forth such other data and information as may be required by the Director of Finance. (Ord. 19-217; Ord. 07-495; Ord. 76-141; Ord. 58-1386; Ord. 57-1096.)

Baltimore City Code, Article 28, § 21-5 Interest and civil penalties.

§ 21-5. Interest and civil penalties. (a) In general. (1) Any person, firm, association, or corporation that refuses or fails to collect the taxes imposed by this subtitle, or to make a proper return when due, or to pay the taxes collected over to the Director of Finance when due, is liable for and must pay to the Director, in addition to the tax due: (i) interest on the amount of tax due at the rate of 1% for each month or part of a month that the tax is overdue; and (ii) a penalty of: (A) if the tax is 30 to 59 days past due, 30% of the amount due; (B) if the tax is 60 to 89 days past due, 60% of the amount due; and (C) if the tax is 90 days or more past due, 100% of the amount due. (2) The penalty imposed by paragraph (1)(ii) of this subsection applies to all unpaid taxes regardless of the original date on which the unpaid taxes first became due. (b) Collection. This interest and penalty shall be collected as a part of the tax itself. (Ord. 11-561; Ord. 10-299; Ord. 84-016; Ord. 76-141; Ord. 58-1386; Ord. 57-1096.)

Baltimore City Code, Article 28, § 21-6 Refunds.

§ 21-6. Refunds. (a) In general. Whenever any person erroneously, illegally, or unconstitutionally has paid the tax imposed by this subtitle, or whenever any person has paid the tax imposed by this subtitle in connection with a room or rooms in a hotel which such person has rented, used, or occupied for a period of 90 consecutive days or more, the Director of Finance shall refund the amount of such tax so paid upon receipt by him of a properly executed application stating good and sufficient grounds for any such refund. (b) Application. Any such application: (1) must be filed within 3 years from the date when the tax is paid; (2) must contain such information and be in such form as may be required or approved by the Director of Finance; and (3) must be signed by both the persons having paid the tax and the proper officer or officers of the particular hotel involved. (Ord. 76-141; Ord. 61-908.)

Baltimore City Code, Article 28, § 21-7 Conveyance of hotel business.

§ 21-7. Conveyance of hotel business. (a) Notification required. (1) Whenever any person, firm, association, or corporation owning or operating any hotel business in Baltimore City shall sell, transfer, convey, or assign any such hotel business, the purchaser, transferee, or assignee thereof shall, at least 10 days before taking possession or control of such hotel business or paying therefor, notify the Director of Finance by registered mail of the proposed sale, transfer, conveyance, or assignment and of the price, terms, and conditions thereof. (2) The said notice shall be given to the Director of Finance: (i) whether or not the vendor, transferor, or assignor has represented to or informed the purchaser, transferee, or assignee that it owes any tax under the terms and provisions hereof; and (ii) whether or not the purchaser, transferee, or assignee has knowledge that such taxes are in fact owing. (b) Tax claim lien on purchase payment. (1) Whenever the purchaser, transferee, or assignee shall fail to give the said notice to the Director of Finance, as required by the terms and provisions hereof, or whenever the Director of Finance shall inform the purchaser, transferee, or assignee that a possible claim for such tax exists, any sums of money, property, or choses in action, or other consideration which the purchaser, transferee, or assignee is obligated to pay or transfer to the vendor, transferor, or assignor shall be subject to a first priority, right, and lien for said taxes theretofore or thereafter determined to be due from the vendor, transferor, or assignor to the City. (2) The purchaser, transferee, or assignee is forbidden to pay or transfer to the vendor, transferor, or assignor any of the aforementioned sums of money, property, or choses in action to the extent of the amount of the City’s claim for unpaid taxes due under the terms and provisions hereof. (c) Penalties. For failure to comply with the terms and provisions of this section, the purchaser, transferee, or assignee: (1) shall be personally liable for the payment to the City of said taxes theretofore or thereafter determined to be due to the City from the vendor, transferor, or assignor, in the same manner and to the same extent as the vendor, transferor, or assignor; and (2) in addition thereto shall also be subject to the criminal penalties set forth in § 21-10. (Ord. 65-683.)

Baltimore City Code, Article 28, § 21-8 Administration of subtitle.

§ 21-8. Administration of subtitle. (a) Rules and regulations. Subject to Title 4 {“Administrative Procedure Act – Regulations”} of the City General Provisions Article, the Director of Finance is hereby authorized to adopt or promulgate such rules and regulations as he may deem necessary or proper: (1) pertaining to the payment, collection, and accounting of the taxes levied and imposed by this subtitle; or (2) in connection with the administration and enforcement of the provisions of this subtitle. (b) Additional powers of Director of Finance. In addition to the powers granted to the Director of Finance in connection with the collection of the tax imposed by this subtitle, he is hereby authorized and empowered: (1) to compromise disputed claims in connection with the tax imposed by this subtitle and, for good and sufficient causes shown, to remit interest and penalties; (2) to delegate any of his powers, duties, and functions in connection with the collection of the tax imposed by this subtitle and the enforcement of the provisions relating thereto to the City Collector or any other agent, representative, or employee of the Mayor and City Council of Baltimore; and (3) to extend for good cause shown the time for filing any return required to be filed under this subtitle and for such period of time as he may deem reasonable. (Text Conformed 02/25/21; Ord. 76-141; Ord. 58-1386; Ord. 57-1096.)

Baltimore City Code, Article 28, § 21-9 {Reserved}

Baltimore City Code, Article 28, § 21-10 Criminal penalties.

§ 21-10. Criminal penalties. The willful refusal on the part of any person, firm, association, or corporation to collect the said taxes, file proper returns when due, or pay the taxes collected by him or it over to the Director of Finance when due, as required by this subtitle or by regulations of the Director of Finance adopted pursuant hereto, or the filing of a return known to be false or incomplete, shall be a misdemeanor, and any person, firm, association, or corporation convicted thereof shall be subject to a fine of not more than $500 or imprisonment not exceeding 6 months, or to both fine and imprisonment, in the discretion of the Court. (Ord. 76-141; Ord. 57-1096, 1957-58.)

Source: City of Baltimore Department of Legislative Reference, City of Baltimore Law Library (codes.baltimorecity.gov; Open Law Library bulk XML)URL: https://codes.baltimorecity.gov/us/md/cities/baltimore/code/28/III/21Fetched: 10/25/2026