Tax on Lodging — Billing

In addition to the GST and QST, you must pay a tax on lodging when you stay fewer than 32 consecutive days in a sleeping-accommodation establishment (This link will open a new window) in one of the tourism regions of Québec that has requested that the Québec government apply this tax in the region.

Depending on the tourism region, the tax is one of the following:

  • $2 per overnight stay
  • $3 per overnight stay
  • 3% of the price of an overnight stay ($3 per overnight stay, when the tax is billed to an intermediary purchasing the accommodation unit for supply to another party)
  • 3.5% of the price of an overnight stay ($3.50 per overnight stay, when the tax is billed to an intermediary purchasing the accommodation unit for supply to another party)

The tax is used to finance the Fonds de partenariat touristique (tourism partnership fund) set up to support and promote the Québec tourism industry.

Billing by a sleeping-accomodation establishment

Tax on lodging at $2 or $3 per overnight stay

On the receipt, the tax can be:

  • included in the price of the overnight stay
  • indicated separately from the price of the overnight stay

Tax on lodging at 3% or 3.5% of the price of an overnight stay

If the price of an overnight stay is indicated separately from charges for other goods and services provided, the establishment must indicate the tax on the receipt in one of the following ways:

  • indicate the price of the overnight stay and the tax on lodging separately on the rental receipt
  • add a note on the rental receipt indicating that the price of the overnight stay includes the tax on lodging

If the price of an overnight stay is not listed separately from the other goods and services provided, the amount of tax on lodging must be identified and listed separately.

The 3% or 3.5% tax only applies to the price of the overnight stay. Any goods or services included in the price must be excluded from the tax calculation.

Billing by a tour operator

In the case of overnight stays in sleeping-accommodation establishments located in tourism regions where the tax on lodging applies, the tax must be paid to the tour operator as follows:

  • $2 for overnight stays in an establishment located in a tourism region where the $2 tax applies
  • $3 for overnight stays in an establishment located in a tourism region where the $3 tax or the 3% tax applies
  • $3.50 for overnight stays in a sleeping-accomodation located in a tourism region where the 3.5% tax applies

Billing the GST and QST

Sleeping-accommodation establishments that collect the GST and QST must calculate these taxes on the total price including the tax on lodging.

Exclusions

The tax on lodging does not apply to the rental of:

  • a campsite
  • an accommodation unit in an educational institution, a youth hostel or a resort
  • an accommodation unit for six hours or less, or for more than 31 consecutive days
  • an accommodation unit offered on an occasional basis, for example once a year during a festival

For more information, see the brochure Tax on Lodging (IN-260-V).

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