Important Alert: Potential New Tax

Massachusetts State lawmakers are focused on passing a new tax on short term home rentals in 2018.  There are multiple proposals being discussed that would target nearly all short-term rentals in Massachusetts.   The aim is to charge a 5.7% room-occupancy tax to bring in an additional 18 million dollars in revenue to the state and to level the playing field for hotels, motels and inns who are required to charge the tax.  One of the tax proposals would allow towns and cities to add their own tax of up to 6%.  As of this week, Nantucket does not have anything pending for a local tax.  A local tax has been successfully defeated numerous times at past Town Meetings.  A more complex proposal at the state level is being debated that would require safety/ health inspections and additional insurance for homeowners.  There is much discussion and we will keep you posted as new information evolves. Locally, the Nantucket Association of Real Estate Brokers voted to get involved in an advocacy role against these proposals.