What is Transient Occupancy Tax (TOT)?
Transient Occupancy Tax (TOT) is a rental tax collected by owners/management companies from guests for short-term rentals up to 30 days. It is not a tax on the business operator. Property owners/management companies must collect the tax from the guest on behalf of the County per Revenue Taxation Code 7280 and Placer County Code, Article 4.16. Download the Uniform Transient Occupancy Tax Code booklet (PDF) for more information.
TOT helps fund projects that benefit the County as a whole. These include public parks, infrastructure improvements, and historical and environmental preservation. It is an added source of non-property tax revenue to Placer County.
Who needs to pay TOT?
Any property owner or management company renting units in Placer County for 30 days or less. Rentals consisting of 30 or more consecutive days are considered long-term rentals and are not subject to TOT.
What is considered a rental?
- Living Spaces in Hotels
- Other Lodging
- Tourist Home or House
TOT also applies to rentals from all internet-based rental services like Airbnb, Homeaway, and Vacation Rental By Owner (VRBO) in the unincorporated areas of Placer County.
I am renting or plan to rent and need to pay TOT. What do I do?
1. Register for a TOT certificate. Learn how to do that here: Register Property for TOT Certificate
2. After successfully registering for a TOT certificate, you will receive a welcome packet from Revenue Services with information about your TOT tax rate and how and when to report and remit
3. Familiarize yourself the TOT worksheet and the TOT filing deadlines. Find that information here: How and When to Pay Transient Occupancy Tax
4. Contact our office with questions by calling 916-543-3950 or emailing [email protected]
Exemptions to TOT
If the renter is a federal or state officer or employee on official business, they can apply for exemption to TOT by completing and filing the exemption application (PDF) at the time the occupancy is agreed to, prior to taking occupancy of the rental. A contractor for the government agency cannot apply for exemption.