Homeowners and Individuals Providing Short-Term Lodging

NOTE: Click here for an UPDATED article dated December 07, 2017.

Homeowners or other individuals who make rooms or lodging available to the public for periods less than one month, must report and pay Wisconsin sales tax on such rentals. This includes the short-term rental of a home, room, apartment, cabin, inn, motel, or any other building in which accommodations are made available to the public. "One month" means a calendar month or 30 days, whichever is less, counting the first day of the rental and not counting the last day of rental.

The sales tax rate charged is based on the location where the lodging is furnished. A basic room tax, an additional room tax and a municipal room tax may also apply, depending on the location of the lodging.

For example, lodging furnished in Milwaukee County is subject to 5.6% sales tax (5% state, .5% county, and .1% stadium) plus a 2.5% basic room tax. If the sale occurs in the City of Milwaukee, an additional 7.0% room tax applies.

If you are furnishing short-term lodging, you should apply for a seller's permit at tap.revenue.wi.gov/btr.

Exception: If a seller's taxable sales are less than $1,000 in a calendar year, an occasional sale exemption may apply to the sales. See the article titled "Occasional Sale Exemption in Section 77.54(7)(a), Wis. Stats.: When Does it Apply?" that was published in Wisconsin Tax Bulletin #122 (October 2000).

Additional information about providing lodging services is available in Publication 219, Hotels, Motels, and Other Lodging Providers.

January 25, 2016