Council has approved a municipal accommodation tax (MAT) that will go into effect on February 1, 2021 in Prince Edward County.
The MAT applies to all roofed accommodations provided for a continuous period of 30 days or less. The tax only applies to the accommodation fee.
Visitors who stay at motels, hotels, inns, bed and breakfast establishments, and private, short-term accommodation (STA) rentals will pay the tax. The tax will be added to guest invoices, and accommodators will be required to remit the MAT to the municipality.
Throughout October and November, staff will consult the public as well as stakeholders in the accommodation and tourism sectors. That feedback will inform recommendations that will go to council for its consideration in early 2021.
The municipality is committed to creating a plan for distributing the MAT funds. Under provincial legislation, 50% of MAT funds must be used by the municipality for infrastructure or services that support tourism. The remaining 50% is to be used by an eligible tourism entity to support tourism promotion and development.
