How Much Is The Tourist Tax In New York?

If you are wondering about how much the Tourist Tax is in New York, you will find the answer to your question in the following blog post as we discuss the different taxes that may be new for tourists visiting New York. In addition to this, we will also review some top tips to keep in mind while planning a trip to New York City; keeping in view that some taxes may be new for visitors.

How Much Is The Tourist Tax In New York?

While there is no fixed amount of tourist tax in New York, there is a certain amount of taxes that are added to your hotel bill if you are a tourist in New York and staying at a hotel. Needless to mention, if you are a tourist staying over with friends and family, you will not have to pay this tax.

With nearly 56 million tourists visiting New York City in 2022 and 61 million tourists expected to visit in 2023, the tourist season is one of the times when hotel occupancy is quite high.

Even with such a frequency of tourists, there is no tourist tax in New York. However, if you are visiting New York and staying at a hotel, you will be paying a combination of state and city taxes that are added to the cost of hotel rooms.

This amount generally comes to around 14.75% of your total hotel bill and includes the following elements: 

  • 8.875% state tax 
  • 5.875% city tax 
  • a $4.00 city occupancy tax 
  • a $1.50 state hotel unit fee

Therefore, whether you are a tourist, business traveller, or even an NYC resident staying in a hotel, you will be required to pay these taxes.

While these taxes may not be mentioned in the original cost estimate of hotel rooms (especially if you are booking online), they are usually added to your bill when you check out of your hotel room. You can choose to make your payments for these taxes (part of your hotel bill) via cash, credit card, or debit card.

In addition to this, prominent hotel chains such as Hilton and Marriot have started to add the “Urban Destination Charge” to the room bill if you choose one of their properties located near Times Square. This is an additional $25 per night charge added to your total hotel bill.

How Is The Hotel Occupancy Tax Charged If You Are Tourist In New York?

The Hotel Occupancy Tax is charged for tourists visiting New York and staying in a hotel on the basis of the rent of the room that they occupy. Below is a classification of the Hotel Occupancy Tax in New York:

Rent of the roomAmount of tax due
$10 or more, but less than $2050 cents per day per room + the hotel room occupancy tax rate
$20 or more, but less than $30$1.00 per day per room + the hotel room occupancy tax rate
$30 or more, but less than $40$1.50 per day per room + the hotel room occupancy tax rate
$40 or more$2.00 per day per room (in case of a hotel suite) + the hotel room occupancy tax rate

How Can You Budget A Trip To New York While Accommodating Taxes?

Here are some tips on how to budget a trip to New York while accommodating taxes especially if you are a tourist:

  • To save money on your trip to New York City, it’s important to plan ahead for your accommodation. Hotels in the city can be expensive, so consider booking in advance during peak season. You may be able to find cheaper rates by booking directly with the hotel or using a third-party booking website. Hostels and Airbnbs are also great options for budget-friendly accommodation. 
  • There are plenty of free activities to do in the city, such as visiting Central Park, walking the Brooklyn Bridge, or taking a ferry to Staten Island. You can also find free concerts, museum exhibits, and other events throughout the city. 
  • While there are many restaurants to choose from in New York City, eating at local establishments can be a great way to save money. Tourist traps are often more expensive, so try to seek out local restaurants instead. 
  • Public transportation is a great way to get around the city and save money on taxis or Uber. You can purchase a MetroCard, which is a reloadable card that can be used on the subway, bus, and ferry. 
  • To save money, it’s best to avoid buying souvenirs. Instead, take photos of your trip to remember it. When dining out or getting a massage, tipping is customary in New York City. Remember to budget for tips, which are typically 15-20% of the bill.

Conclusion:

The above discussion helps to conclude that there is no fixed tax for tourists in New York. However, if you are a tourist who is also staying in a hotel room in New York, certain charges will be added to your hotel room bill in the form of taxes. In addition to this, you may need to budget your expenses for a trip to New York by conducting online research on the potential expense to expect when you visit the city.

References:

Tourist tax – New York City Message Board – Tripadvisor

Is there a tax for each night on the hotels in New York

Hotels in New York are stinging tourists with an extra $25 tax a night if they are near Times Square | The Sun

Business Hotel Room Occupancy Tax