Massachusetts bill calls for taxing Airbnb, other short-term rentals

The bill calls for extending the state's current 5.7 percent hotel tax to most short-term rentals.

airbnb regulation bill
–John MacDougall / Getty Images

BOSTON (AP) — Massachusetts lawmakers have reached a deal on taxing short-term rentals such as those offered through Airbnb.

The compromise reached over the weekend by House and Senate negotiators is expected to go before the House and Senate for an up-or-down vote on Monday. It calls for extending the state’s current 5.7 percent hotel tax to most short-term rentals.

Cities and towns would have the option of tacking on an additional 6 percent lodging tax, and another 3 percent if an owner rents out two or more units in the same community.

Democratic Rep. Aaron Michlewitz tells The Boston Globe the measure is one of the strongest short-term rental bills in the country.

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The compromise comes as the Legislature tries to finish work on numerous pending bills before the formal session ends at midnight Tuesday.

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