Municipal Accomodation Tax

A Municipal Accommodation Tax (MAT) is a non-discretionary tax imposed by the Town of Greater Napanee on short term stays at hotels, motels, inns, and resorts. 

The MAT is a 5% tax, effective July 1, 2026 on stays of less than 30 days. Owners of these establishments must add this tax to their guest's nightly stay fee on top of other taxes such as HST. A MAT is paid for by guests.

MAT applies only to the room charge (not services such as meals or parking), and it must be paid at the time of booking or payment to the accommodation provider.

 To learn more about the Tax, please read the full Municipal Accomodation Tax By-law.

What does the MAT go towards?

Under the Municipal Act, 2001, municipalities that choose to implement a MAT must share a portion of their revenues with an “eligible tourism entity” such as a Destination Marketing Organization, Regional Tourism Organization, or other not-for-profit tourism organization. As a member of the Bay of Quinte Regional Marketing Board, the Town of Greater Napanee shares 50% of our remittances with this organization which goes towards activities that achieve their mandate of marketing tourism and resident attraction for communities in the Bay of Quinte region.

The other half of the remittances remain with the Town of Greater Napanee and are used to fund tourism initiatives in accordance with the Use of Municipal Accommodation Tax Reserve Funds Policy.  

Information for Accomodation Providers

Accommodation providers are required to charge the 5% tax, submit quarterly remittance forms, and quarterly payments to the Town of Greater Napanee.

Compliance Guidelines for accommodation providers are summarized below in the MAT Compliance Guidelines. 

Enforcement

Failure to remit MAT may result in a number for enforcement measures including:

  • MAT will be assessed based on full occupancy
  • 1.25% penalty on unpaid MAT on the first day of default
  • 1.25% interest per month thereafter
  • Past‑due MAT may be added to the property tax roll and registered as a lien
  • Legal action
  • Collection agencies
  • Other remedies under the Municipal Act

Frequently Asked Questions

A Municipal Accommodation Tax (MAT) is a non-discretionary tax imposed by the Town of Greater Napanee on short term stays at hotels, motels, inns,and resorts. 

The MAT is a 5% tax, effective July 1, 2026 on stays of less than 30 days. Owners of these establishments must add this tax to their guest's nightly stay fee on top of other taxes such as HST. A MAT is paid for by guests.

To learn more about the Tax, please read the full Municipal Accomodation Tax By-law.

MAT applies to guests staying in hotels, motels, inns, and resorts for a period of 30 consecutive days or less.

MAT is calculated as 5% of the room rate only. HST (13%) also applies to the MAT. 

It does not apply to:

  • Food and beverages 
  • Parking
  • Room incidentals 
  • Service charges

These items must be separately itemized on invoices to be exempt. 

Rooms without beds (such as meeting rooms) are not subject to MAT.

Yes. MAT applies to the first 30 consecutive days – stays beyond 30 days are exempt. 

Yes. MAT is required and must be paid when paying for accommodations.

Contact Us

Town of Greater Napanee
99-A Advance Avenue
Napanee, ON K7R 3Y5
Phone: (613) 354-3351
Email: info@greaternapanee.com

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