Written by Doug Deihm, CPA
PA Sales Tax
Rental of Tangible Personal Property = TAXABLE
Rental of Real Estate = NON-TAXABLE
Exception:
- Self-Storage Facilities = TAXABLE
- Hotels = TAXABLE
Definition
A structure that offers overnight accommodations, available to the general public for a period of time less than 30 days.
Examples
| Hunting Lodge – If you have a hunting lodge that is advertised as available to the general public, for a time period of 30 days or less, even if only for a portion of the year; this qualifies as a Hotel. | 
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| Wedding Venue – If a wedding venue has a bed & breakfast or rooms available to the general public (for 30 days or less), then the wedding facility is taxable. If no overnight accommodations, then the venue is non-taxable. | 
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Taxable rooms and facilities – The occupancy of a room in a hotel is subject to tax, including but not limited to sleeping rooms, living quarters, housekeeping accommodations, sample rooms, display rooms, function rooms, meeting rooms, banquet and dining rooms, ballrooms, theaters, auditoriums, kitchens, offices, lobby space, garage facilities and commercial establishments.
The use or possession, or right to use or possess, furnishings, services and accommodations which accompany the use or possession of a room, is also considered occupancy and is subject to tax. Reference should be made to § 38.3.
Hotel – A building in which the public may, for a consideration, obtain sleeping accommodations, including establishments such as inns, motels, tourist homes, tourist houses or courts, lodging houses, rooming houses, summer camps, apartment hotels, resort lodges and cabins and other building or group of buildings in which sleeping accommodations are available to the public for periods of time less than 30 days.
An establishment such as a public summer camp which has any permanent buildings available to the public for use as sleeping quarters, may be a hotel, even though some of its accommodations may be temporary structures, such as tents.
Local municipal hotel excise taxes may also apply. Rules and regulations may or may not be similar in other states. Please contact Trout CPA if you want to know about rules and regulations for other states.
For questions or assistance, contact us at 717-569-2900.
