Airbnbs, Vrbos and other short-term accommodation properties were added to the City of Timmins municipal accommodation tax (MAT) bylaw in January. It means the owner is required to collect a 4% levy on all bookings to pay to the municipality.
The city issued a reminder to owners and operators of the short-term stay properties this week.
“While the city works to move the registration process online, owners and operators can register their short-term rental accommodations now with Service Timmins and provide MAT payment with rental receipts or supporting records that verify use of the property as a short-term rental accommodation. By registering short-term rental properties now, owners can avoid the set fine for failure to register,” reads the news release.
The software being used proactively ensures that property owners are complying with the city’s licensing requirements.
“That means municipal enforcement services will be able to locate short-term rental property listings and owners to confirm the properties are registered and remitting applicable MAT payments. The owner of any short-term rental identified by the software will also be required to backdate all MAT payments to the approved bylaw date of Jan. 14, 2025,” said the city.
The city has been collecting the tax on short-term stays at hotels and motels since 2019.
Up until now, the city hasn’t had the software to track, and ultimately collect, the cash from businesses such as Airbnb and Vrbo. For Airbnb, the company website reports over 100 rentals available in Timmins.
Half of the money collected is handed out by the Timmins Economic Development Corporation (TEDC) MAT committee. The other half goes to city coffers to distribute, with Timmins council members deciding how to spend it.