Philadelphia Hotel Occupancy Fees and Reporting

Taxation and Finance Pennsylvania 3 Minutes Read · published February 05, 2026 Flag of Pennsylvania · By Emily Carter

Overview

Philadelphia, Pennsylvania requires hotels and short-term lodging providers to collect and remit a city hotel occupancy fee under municipal rules administered by the City of Philadelphia Department of Revenue. This guide explains which transactions are taxable, where to find official rules, how to file and pay, and what to do if you receive a notice or assessment. For official rate tables and filing instructions see the Department of Revenue guidance. Department of Revenue - Hotel Tax[1]

Keep clear records of nightly rates, exempt stays, and third-party bookings.

Rates & What Counts as Occupancy

The municipal fee applies to the charge for sleeping accommodations furnished by hotels, motels, inns, bed-and-breakfasts, and similar short-term rentals. The exact fee rate, any per-night surcharges, and whether platform fees must be included are detailed by the Department of Revenue and on the controlling municipal code. Philadelphia Municipal Code[2]

  • Who pays: typically the occupant but the operator collects and remits.
  • Tax base: taxable charges for lodging; exemptions are listed on the official guidance.
  • Reporting period: the Department prescribes filing frequency and forms.

Penalties & Enforcement

Enforcement is handled by the City of Philadelphia Department of Revenue and related municipal offices. Specific fine amounts and daily penalties for noncompliance are set in city rules and enforcement notices; where the cited official pages do not list exact penalty figures, those figures are not specified on the cited page. Philadelphia Municipal Code[2]

  • Monetary fines: not specified on the cited page; see municipal code and Revenue notices for current amounts.
  • Escalation: first, repeat, and continuing offences are addressed in enforcement rules; ranges are not specified on the cited page.
  • Non-monetary sanctions: may include assessment of tax due, administrative liens, collection actions, and court proceedings.
  • Enforcer and complaints: City of Philadelphia Department of Revenue handles audits and collections; contact details and complaint pathways are on the Department of Revenue guidance. Department of Revenue - Hotel Tax[1]
  • Appeals and review: administrative appeal routes are defined by Revenue procedures; specific time limits for filing appeals or protests should be confirmed on the Department page or cited ordinance.
  • Available defences: common defenses include proof of exemption, corrected returns, or demonstration that charges were not for taxable lodging.
If you receive an assessment, act quickly to request administrative review within the stated time limit.

Applications & Forms

The Department of Revenue publishes the required returns and payment methods; if a named form number is not shown on the cited guidance, the specific form number is not specified on the cited page. Operators should use the Business Taxes forms and electronic filing system provided by the City of Philadelphia Department of Revenue. Department of Revenue - Hotel Tax[1]

How to Comply

Follow these practical steps to comply with Philadelphia hotel occupancy fee rules, from registration to recordkeeping.

  1. Register your business with the City and obtain any necessary business tax accounts.
  2. Collect the occupancy fee on each taxable stay and segregate funds for remittance.
  3. File returns and pay by the dates required by the Department of Revenue; follow the filing frequency published by the Department.
  4. Keep complete records of bookings, rates, exemptions, and third-party platform remittances for audit (recommended retention: as directed by the Department).
Maintaining a dedicated accounting ledger for occupancy charges simplifies audits.

FAQ

Who is required to collect the hotel occupancy fee?
Operators of hotels, motels, inns, bed-and-breakfasts, and similar short-term lodging are generally required to collect and remit the fee; check the Department of Revenue guidance for definitions and exemptions.
How often must I file and pay the fee?
Filing frequency and payment deadlines are set by the Department of Revenue; consult the Department's hotel tax page for current filing schedules.
What if I disagree with an assessment?
You may request administrative review or appeal as provided by Revenue procedures; observe the deadlines stated in the notice and on the Department website.

How-To

  1. Confirm your business classification and register for City business tax accounts.
  2. Calculate taxable charges per stay and apply the city occupancy fee to each taxable invoice.
  3. Complete the City-prescribed return and remit payment by the filing deadline.
  4. Retain supporting records and respond promptly to any Revenue inquiries or audit requests.

Key Takeaways

  • Collect and remit the fee promptly to avoid enforcement actions.
  • Use official Department of Revenue forms and follow published filing schedules.

Help and Support / Resources

  1. [1] City of Philadelphia Department of Revenue - Hotel Occupancy Tax
  2. [2] Philadelphia Municipal Code - Official Code Library

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Emily Carter

Emily Carter

Municipal Policy Researcher

Emily researches municipal codes and local ordinances across the United States. She verifies every guide against official city and state sources before publication.