City HOT Tax Payments
Anyone renting out their house, rooms in their home, or space on their property for less than 30 days is required to collect & pay Hotel Occupancy Tax (HOT) to the State and to the City of Marfa (Ordinance). The tax applies not only to hotels and motels but also to Airbnb rentals, VRBO rentals, bed and breakfasts, condominiums, apartments, and other private home or room rentals in the city limits and within it's ETJ (1/2 miles outside of Marfa's city limits on all sides). Marfa HOT applies to all sleeping accommodations costing $2 or more per day and is separate from the state occupancy tax. The tax must be collected from the customers the same way a hotel or motel collects tax from its guests.
The City of Marfa Hotel Occupancy Tax Rate is seven percent (.07) of the cost of a nightly stay plus cleaning fees and pet fees, which is due to the City of Marfa quarterly. The tax payments are due on the 20th day of the month following the end of the applicable calendar quarter. If the tax is paid on time, a property owner may keep one percent (.01) of the tax as an administrative fee. If payment is late, the one percent is forfeited and a 5% late fee is added.
** The Quarterly HOT Report Form must accompany your payment. **
→To get started, you must register your rental property with the City.
- Complete the Registration Application packet
- Turn it in to City Hall with your Permit fee(s)
Permit fees are as follows:
$500 initial Permit fee
+$100 for each additional rentable unit located on the property (if applicable)
Both City Registration and STR Permit must be renewed annually.
--> Once you have registered your rental (all rentals) and obtained an STR permit (inside city limits rentals) you are free to rent out your space(s) for the permitted calendar year.
- Per the City of Marfa Ordinance No. 07-11-3A, you must collect a 7% tax on each nightly stay, cleaning fee, and pet fee that is charged to stay at your listing.
- At the end of each calendar quarter, you are responsible for reporting and paying the taxes you collected.
- Please use the following timeline to report and pay your quarterly taxes:
- stays from January 1 through March 30 - payment is Due By April 20th
- stays from April 1 through June 30 - payment is Due By July 20th
- stays from July 1 through September 30 - payment is Due By October 20th
- stays from October 1 through December 31 - payment is Due By January 20th
The Quarterly HOT Report Form and tax payment must be submitted together using one of the following methods:
- By Mail: City of Marfa - HOT, P.O. Box 787, Marfa, Tx 79843
- In Person: Bring in or drop off in night-drop at City Hall
- Online: Click Here
**Your account cannot be credited without the corresponding Quarterly HOT Report Form.
**To complete your Online payment, you must email your Quarterly HOT Report Form to: KPerez@cityofmarfa.com
If you have any questions about the City of Marfa Hotel Occupancy Tax, please contact Kelly Perez at (432) 729-4315.
The City is required to post the annual hot funds collected. The most recent report is here.
