Hotel Tax Calculator by City
Calculate total taxes on hotel stays for major US cities
Stay Details
Preset rates last verified September 2026. Tax laws change — verify with the city/state authority before expense reporting.
Per room per night
Tax Rates
Pre-filled from city preset. Override as needed.
Tax Breakdown
Room Subtotal
$600.00
State Tax
$24.00
4%
City Tax
$27.00
4.5%
Occupancy Tax
$35.25
5.875%
Total Tax
$86.25
$28.75 per room/night
Grand Total
$686.25
Effective tax rate: 14.4%
How much are hotel taxes in major US cities?
Hotel taxes in the US are a layered structure: a state sales tax applies first, then a city or county sales tax, and finally a dedicated hotel occupancy tax (also called a lodging tax or bed tax). These three rates stack, which is why the final figure on your hotel folio is often 15–20% above the advertised room rate.
Chicago leads major markets with an occupancy tax of 17.4% on top of state and city sales tax, making it one of the most expensive cities for hotel stays on a tax-adjusted basis. Las Vegas, despite its reputation for value, imposes a 13.38% resort corridor fee on top of 6.85% state tax. New York City sits at a combined 14.375%. Washington DC collects nearly 15% through a single consolidated city tax — the only market on this list with no separate state lodging tax layer.
For business travelers, these rates matter for expense report accuracy. Many finance teams set reimbursement caps based on GSA per diem rates, which are supposed to cover taxes but may lag behind current local rates. Use this calculator to generate the actual tax total before you submit.
For group planners, hotel tax is often the most underestimated line item. A 40-room group in Chicago for 3 nights at $200/night faces roughly $4,176 in combined taxes alone — nearly half a room's cost per room.
Why hotel tax rates vary so much between cities
Hotel occupancy taxes are levied by state legislatures, county boards, and city councils independently — meaning a hotel can be subject to all three simultaneously with no coordination on the combined burden. Cities often earmark the revenue for tourism promotion, convention center debt service, or sports stadium financing, which is why rates tend to be highest in markets with major convention centers or recently built arenas.
Resort fees are a separate issue: they are not technically a tax, but they function like one — mandatory, per-night, and not reflected in the advertised rate. Whether they are subject to occupancy tax depends on state law. Nevada taxes resort fees; many states do not. See the Resort Fee Calculator to isolate the full impact of mandatory fees on your stay cost.
How to use the hotel tax calculator
- Select your destination city to pre-fill current tax rates.
- Enter your nightly rate, number of nights, and number of rooms.
- Add any resort or amenity fees charged by the property.
- Use "Custom / Other" if your city isn't listed and enter the rates manually.
- The Tax Breakdown panel updates instantly — no submit button needed.
Frequently asked questions
How much is hotel tax in New York City?
NYC hotel guests pay approximately 14.375% combined: 4% NY State sales tax, 4.5% NYC local sales tax, and 5.875% NYC hotel room occupancy tax. On a $200/night room for 3 nights that is $86.25 in taxes on top of the $600 room subtotal.
What is hotel occupancy tax?
Hotel occupancy tax (lodging tax or bed tax) is a charge specifically on the act of renting a hotel room. It is separate from general sales tax and is usually collected by the city or county. Rates range from under 5% (some Florida counties) to over 17% (Chicago).
Which US city has the highest hotel taxes?
Chicago regularly tops the list with an occupancy tax above 17%. Houston, Kansas City, and Seattle are also frequently in the top 10. Combined effective rates (state + city + occupancy) can exceed 20% in the worst markets.
Are resort fees included in the taxable room rate?
It depends on the state. Nevada and some other states require that mandatory resort fees be treated as taxable lodging revenue and taxed at the same rate as the room. Other states exclude fees from the taxable base. Use the Custom fields to model both scenarios.
Do GSA per diem rates cover hotel taxes?
GSA lodging per diem rates are designed to cover taxes for federal travelers. However, the rates may not keep up with recent local tax increases. Use the companion Per Diem Calculator to verify your lodging allowance against current GSA rates.