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Transient Accommodation Tax on Resort Fees

On April 23, 2019, Governor David Ige signed Senate Bill SB380 SD1 (Act 020) into law relating to the Transient Accommodation Tax. The transient accommodation tax at the rate of 10.25% will now be imposed on all resort fees for stays on or after July 1, 2019. (“Resort Fee” means any mandatory charge or surcharge imposed by an operator, owner, or representative thereof to a transient for the use of the transient accommodations property, services, or amenities, including cleaning fees and facility fees).

This new law will take effect on all islands beginning July 1, 2019 and apply to all stays regardless of arrival dates or when the reservations were made or paid. Our hotel guests and/or travel partners will be responsible for the payment. Additional information can also be found online: https://www.capitol.hawaii.gov/session2019/bills/GM1121_.pdf

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