Oregon Administrative Rules › Chapter 150 - DEPARTMENT OF REVENUE › Division 320 - PROVISIONS APPLICABLE TO PRIVILEGE TAX › Section 150-320-0050 - State Lodging Tax Exemptions

Current through Register Vol. 63, No. 7, July 1, 2024
(1) The following are exempt from the state
			 lodging tax:
(a) Health care facilities
			 certified, licensed or registered by the Department of Human
			 Services.
(b) Drug and alcohol
			 abuse and mental health treatment facilities.
(c) All dwelling units during the time a
			 federal instrumentality pays for use of the units.
Example
			 1: The American Red Cross contracts with several area motels to
			 provide temporary emergency housing for victims of disasters. Because American
			 Red Cross is a federal instrumentality, these units are not subject to the
			 state lodging tax.
(d)
			 Dwelling units at a nonprofit facility.
Example
			 2: A nonprofit church camp is organized to serve the congregations
			 of the Southern Willamette Valley. This camp is solely for the use of these
			 congregations and is not rented to the general public for profit. The church
			 camp is not subject to the state lodging tax.
(e) Dwelling units occupied by:
(A) The same person for a consecutive period
			 of 30 days or more during the year. "Person" means either the occupant of the
			 dwelling unit or the one who pays for the transient lodging. After 30
			 consecutive days, the person is considered a tenant and is no longer considered
			 an occupant of transient lodging. In this case, the 30 days must be
			 consecutive.
Example 3: A major airline has
			 an annual contract with a hotel near the airport. These dwelling units are used
			 by out of town airline employees. Because the airline contracts and pays for
			 the units for a consecutive period of more than 30 days per year, these units
			 are not subject to the state lodging tax.
(B) A person who pays for lodging on a
			 monthly basis, regardless of the number of days in the month.
(C) Federal employees and employees of
			 federal instrumentalities, (i.e.: American Red Cross), on official
			 business.
(D) Persons with
			 diplomatic immunity.
(f)
			 Dwelling units used by the general public for less than 30 days in a calendar
			 year. Even if a dwelling unit becomes temporarily exempt under subsection
			 (1)(e) of this rule, that period of usage applies toward the 30 calendar days
			 of use under this subsection. However, this exemption does not apply when the
			 dwelling unit is rented using a transient lodging intermediary platform on or
			 after September 29, 2019.
Example 4: Ralph
			 owns a hunting lodge in the mountains. He rents the lodge out to the general
			 public for three weeks a year during the hunting season. Because Ralph rents
			 the lodge out for fewer than 30 days per year, he is not required to collect
			 the state lodging tax.
Example 5:
			 Dave rents his vacation home to the Wright family for 45 consecutive days in
			 May and June. This rental period is not subject to the state lodging tax as it
			 is rented to the same person for more than 30 days. In July of that year Dave
			 rents the same vacation home for 10 days to the Jacobson family. Because Dave
			 rented his vacation home for more than 30 days over the course of the calendar
			 year, a total of 55 days (45 plus 10), he is subject to the state lodging tax
			 and must collect and pay the tax on the 10 day stay of the Jacobson
			 family.
Example 6: Jane owns a
			 vacation home that she has listed through a vacation rental transient lodging
			 intermediary platform. The former owners of the home rent it directly from Jane
			 for two weeks each year. Jane does not rent the home directly to any other
			 guests during the calendar year, but it is rented to other guests for one week
			 during the year through the transient lodging intermediary. Because Jane rents
			 the home for fewer than 30 days in the year, she is not required to collect the
			 state lodging tax. However, because the less than 30 day rental exemption does
			 not apply to rentals using a transient lodging intermediary platform, the
			 transient lodging intermediary must collect, report, and remit state lodging
			 tax for the one week rented through the transient lodging intermediary's
			 platform.