New Rules for the Rental of Accommodation Units Through Digital Accommodation Platforms
As of January 1, 2020, operators of digital accommodation platforms that allow the rental of accommodation units (rooms, houses, cottages, etc.) in Québec for a period of 31 days or less may, if they receive an amount as consideration for the rental of such units, be required to:
- register for the tax on lodging;
- collect the tax on the amounts they receive as consideration;
- report and remit to us the tax collected.
If such a platform operator is registered for the tax on lodging and the person renting a unit pays the total amount owing as consideration for the rental of the unit, the operator of the sleeping-accommodation establishment (for example, an individual renting out a hotel room) will not be required to collect and remit to us the tax on lodging for that unit. Nevertheless, the establishment operator will still be required to collect and remit to us any applicable QST and GST.
Note that, if the operator of the digital accommodation platform is not registered for the tax on lodging, the establishment operator is responsible for collecting and remitting the tax to us.
Moreover, the establishment operator remains responsible for collecting and remitting to us the tax on lodging on any amount received directly from a renter as compensation for the rental of an accommodation unit, even if the unit is rented through a digital accommodation platform operated by a person registered for the tax on lodging.
As of January 2020, a list of digital accommodation platform operators registered for the tax on lodging will be available on our website.
For more information, see the tax news article on this subject.