Gov. Baker: Apply hotel tax to larger online rental owners

BOSTON (AP) — Property owners who rent out rooms more than 150 days a year using online lodging services like Airbnb would begin paying the state’s hotel tax under a proposal by Gov. Charlie Baker.

The room occupancy tax rate of 5.7 percent is aimed that those who use online lodging services to essentially operate as a hotel or motel.

The goal is create a more level playing field while also giving a pass to homeowners who use services like Airbnb to occasionally rent out a room in their house.

The Republican governor will file the plan along with his budget proposal for the 2018 fiscal year that begins July 1.

Administration officials estimate applying the hotel tax to online rentals could bring in an extra $12 million in the 2018 fiscal year.

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