03/25/2025

House Bill 161

Lead Sponsors: Representative Adam Bird and Representative Jim Thomas

Status: First hearing in House Development (April 9, 2025)

Description: The bill adds transactions by which lodging is provided by a short-term rental property to the sales tax base. The bill defines "short-term rental property" using the same language as the "hotel" definition, but for those establishments with four or fewer rooms.

The bill also specifies that the vendor tasked with collecting and remitting the sales tax for short-term rental properties is the person who operates the business platform used to connect owners of the property to potential guests. This means that, by and large, companies such as AirBnB and Vrbo will be responsible for collecting and remitting sales tax, rather than the property owner themselves.

CCAO Position: Closing this sales tax base loophole aligns with a CCAO Platform Position.