New York City per diem rates FY2027

New York City lodging cap by month

For New York City hotels: the cap against your ADR

Hotel tax, season and changes in New York City

Hotel tax for federal travellers in New York City

A hotel room in New York City carries three layers of tax. The state tax department tells hotels to charge the full state and local sales tax of 8⅞% for the first 90 days of a stay, and hotels in the city must add a unit fee of $1.50 per room per day until the guest has stayed 90 consecutive days^[6]. On top of that, the city's hotel room occupancy tax is 5.875% of the rent plus a flat amount of up to $2.00 per room per night, and the city's finance department says the 5.875% rate has been extended to 30 November 2027^[7]. None of this is part of GSA's per diem lodging cap^[3].

For federal travellers, GSA's SmartPay page for New York says both individually and centrally billed accounts are exempt from the state sales tax with Form ST-129, and that the form cannot be used for locally imposed hotel occupancy taxes^[9]. The form itself covers the state and local sales tax, including the $1.50 unit fee, and accepts payment in cash, by personal check or card, or by a government card^[10]. It also states that the United States government is not subject to locally imposed hotel occupancy taxes^[10], and the city's finance department lists the United States among those exempt from its tax^[11], as does its 311 service^[8]. We found no city page on how a traveller paying with a personal or individually billed card claims that exemption, so ask the hotel before arrival.

When New York City's cap peaks

GSA's cap is highest from September to December and lowest in January and February. The city's official tourism body has said the fourth quarter is historically the strongest of the year, at about 30 percent of visitation^[12], and expects about 8.1 million travellers in the 2026 holiday season^[13]. At the other end of the year it runs a hotel week with discounts from 2 January to 11 February 2027^[14], the same weeks where the cap is at its lowest.

What changed from FY2026

By hotels.tools' calculation from GSA rates, New York City's lodging cap rose in 12 months from FY2026 to FY2027, by between +$10 and +$16 a night. Averaged over New York City's 12 months, by hotels.tools' calculation from GSA rates, the cap went from $277 to $291.17 a night (+$14.17). GSA kept New York City's M&IE rate at $92 a day in both years. That moved New York City more than GSA's standard lodging rate, by hotels.tools' calculation from GSA rates.

Meals and incidentals in New York City

Where the New York City rate applies

GSA's New York City locality covers Bronx / Kings / New York / Queens / Richmond, listed under NY.

IRS high-low status in New York City

Long stays in New York City: 13-week totals

Frequently asked questions