Municipal Accommodation Guests Frequently Asked Questions

Until May 31, 2025, the Municipal Accommodation Tax rate is TWO DOLLARS ($2.00) flat fee per night of
occupancy and must be applied to accommodations provided for a continuous period of 30
days or less.  Effective June 1, 2025 the Municipal Accommodation Tax shall be applied based on the rating of the Accommodation Property in the following amounts:

-            Five (5) Star Seven Dollars ($ 7.00);

-            Four (4) Star Six Dollars ($ 6.00);

-            Three (3) Star Five Dollars ($ 5.00);

-            Two (2) Star Four ($ 4.00); and

-            Unrated properties Five ($ 5.00).

The Municipal Accommodation Tax is a mandatory tax imposed by the City Council
through By-law No. 2059-009.

No you cannot refuse to pay this tax. The Municipal Accommodation Tax is mandatory and
must be paid to the accommodation operator at the same time that you pay for the
booking.

Yes, HST is charged on top of the Municipal Accommodation Tax. The Municipal
Accommodation Tax is deemed part of the consideration for the supply of the transient
accommodation. The determination of which items are to be included in the base for HST is
covered under Section 154 of the Excise Tax Act (R.S.C., 1985, c. E-15).

City of Niagara Falls Bylaw No. 2059 - 009 - A bylaw to impose Municipal Accommodation
Tax on the purchase of transient accommodation in the City of Niagara Falls.

The Municipal Accommodation Tax will be used to support tourism initiatives in the City of
Niagara Falls.  This includes but is not limited to:

- Destination marketing;

- Convention and meeting support;

- In-destination marketing and activation;

- Premiere special events; and

- Airport and visitor transportation system spending.

If you need further assistance, e-mail us at [email protected] with any
questions.