The City of Thunder Bay is reminding operators of short-term rental accommodations of their obligation to collect and remit the Municipal Accommodation Tax (MAT) following recent enforcement action involving several operators who were not meeting the requirements.

The MAT applies to stays of less than 30 days in hotels, motels, and short-term rentals across the city. Operators are required to register with the City, charge the 5 per cent tax on applicable stays, and remit those funds on a monthly or quarterly basis.   

Recent enforcement action addressed cases where three short-term rental operators had not complied with MAT requirements.   

“We know that about 60 per cent of operators are complying with the remittance of the Municipal Accommodation Tax, and we thank those who are meeting their obligations,” said Adam Carruthers, Manager, Licensing & Enforcement.

“It’s important to ensure fair and consistent compliance for all operators, so whether they’re renting out a room occasionally or managing several units, the requirement is the same—all operators must register with the City.”

The MAT supports vital community projects, helping to improve city infrastructure, enhance tourism, and enrich the local experience for both residents and visitors.

The City takes multiple steps to notify and provide voluntary compliance opportunities, including working with online rental platforms to raise awareness of the requirements.

All short-term rental operators, including those using platforms such as Airbnb, VRBO, and similar services, are encouraged to review their responsibilities and ensure they are properly registered and remitting the tax as required.   

Guidance, forms, and more details about the MAT are available at thunderbay.ca/mat.

 

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Contact: Michelle Williams, Manager - Communications & Public Relations, 807-627-2446, michelle.williams@thunderbay.ca