# occupancy tax?



## jpc763 (Apr 9, 2012)

For timeshare owners?  Just got back from Ko Olina and hit with an $8.89 per day tax   I don't remember this last time I went.


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## brigechols (Apr 9, 2012)

AFAIK, a transient occupancy tax is charged by all Hawaii timeshares.


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## barefootnAR (Apr 9, 2012)

Are another way to say it, Hawaii has the timeshare industry collect an Hawaii occupancy tax from the person who is occupying the unit.


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## Kauai Kid (Apr 9, 2012)

Is it true the Maui Mayor is considering doubling the occupancy tax for Arkansas red-necks staying on Maui??


:hysterical: 

Sterling


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## barefootnAR (Apr 10, 2012)

I'm in trouble then.Guess I need to masquerade as a Longhorn. I could never pass for an Aggie. I'm much too smart.


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## jpc763 (Apr 10, 2012)

Hmmm.  So I pay property tax already, but now I have to pay a transient tax because I am not a permanent resident?  

What if I just bought a condo over there and vacationed part time?

Another way to stick the tax burden to the timeshare owners....


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## dougp26364 (Apr 10, 2012)

jpc763 said:


> Hmmm.  So I pay property tax already, but now I have to pay a transient tax because I am not a permanent resident?
> 
> What if I just bought a condo over there and vacationed part time?
> 
> Another way to stick the tax burden to the timeshare owners....



I believe they also have a non-resident property owners tax that is substantially higher than resident owners. 

Essentially, if you can't vote, you get stuck with the bill. The same thing happens in other cities with taxes on things like rental cars, where the price is often 50% higher than the cost of the car due to all the taxes and fee's tacked onto the final bill.


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## Luanne (Apr 10, 2012)

Hmmm, we paid $4.12/day tax on for our two week stay on Maui.  Wonder why the difference?   We are owners at the resort, but weren't staying during the week we own.

Honestly, I didn't think it was bad.  I've stay other places with a much higher per day fee.


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## Timeshare Von (Apr 10, 2012)

As I recall, this occupancy tax was driven largely by the hotel industry's trade association because they argued (lobbied) that they were at a disadvantage with timeshares because they (hotels) had to charge this fee driving up their per night stay costs.  The Hawaiian legislature enacted the tax for timeshare occupancy several years ago (at least five or six . . . maybe longer).

P.S.  The fee is assessed based on the size of the timeshare unit.   In 2007, the fee was $11.42 for a studio/one bedroom unit and $31.70 for a two bedroom unit (for the week).  I don't have the numbers handy since then.


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## DeniseM (Apr 11, 2012)

The TAT varies from resort to resort because it's calculated on the fair market rental value.  The fair market rental value is calculated based on the maintenance fees.  At the Westin Ka'anapali the TAT varies from about $6 - to about $14 per day.

I believe it is currently 9.25%, and I think it was implemented in 1998 at 7.25%.

Here is a download from the state of Hawaii with more info. -
http://www.google.com/url?sa=t&rct=...yU_7GkYJVPboxnJaw&sig2=4kJoUwD5xXxj9iRlhE7IGA


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## Michigan Czar (Apr 11, 2012)

I just paid $11 per day at the Maui Marriott 2 bedroom OV in the new towers.


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## BevL (Apr 11, 2012)

I think that's been in place for at least 10 years.  I seem to remember paying it during our first timeshare trip to Hawaii in 2001 but I could be wrong.

I think with hotels, you expect extra taxes over the room rate.  It's a little more obvious with timeshares.


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## dsyrcle (Apr 11, 2012)

jpc763 said:


> For timeshare owners?  Just got back from Ko Olina and hit with an $8.89 per day tax   I don't remember this last time I went.


We just returned from The Hanalei Bay Resort and had to pay a tax of $11.00 per day on a 2 bedroom unit.


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## Timeshare Von (Apr 11, 2012)

DeniseM said:


> The TAT varies from resort to resort because it's calculated on the fair market rental value.  The fair market rental value is calculated based on the maintenance fees.  At the Westin Ka'anapali the TAT varies from about $6 - to about $14 per day.
> 
> I believe it is currently 9.25%, and I think it was implemented in 1998 at 7.25%.
> 
> ...



Denise thanks for the clarification & correction.  I'm wondering if the implementation has been staggered based on the TS resort figuring it out as my first trip to Hawaii in a TS back in 2000, I paid no occupancy fee at Paniolo Greens on the Big Island.


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## Oluolukeakua (Dec 27, 2014)

*Occupancy Taxes...Since January 1, 1999*

Aloha All!

After some research, the State of Hawaii started charging the timeshare occupancy tax to the person who occupies the unit as of January 1, 1999.  The amount varies from property to property since the amount is based on the fair market value of the unit occupied.  They have a lot of information on the State of Hawaii's Fact Sheet regarding the TOT at: http://files.hawaii.gov/tax/legal/taxfacts/tf98-04.pdf


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## daventrina (Jan 12, 2015)

This is the tax that timeshare owners get to pay for saving Hawaii's bacon every time there is an economic downturn and hotel occupancy declines. 

Some thanks :ignore:


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## mrsmusic (Apr 5, 2017)

What is the tax amount currently?


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## DeniseM (Apr 5, 2017)

It isn't a flat rate - the tax varies by resort and unit size - you will have to ask the resort.


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## Sandy VDH (Apr 5, 2017)

It is better than the new tax USVI just implemented, they wanted $30/day, but they passed a $25/day tax for timeshare occupants.  No variation for size or value.  

I expect the Marriotts which have some of the highest MFs to have the highest tax, since it is calculated based on some formula off MF for the unit type/size you are in.


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## WalnutBaron (Apr 5, 2017)

jpc763 said:


> Hmmm.  So I pay property tax already, but now I have to pay a transient tax because I am not a permanent resident?
> 
> What if I just bought a condo over there and vacationed part time?
> 
> Another way to stick the tax burden to the timeshare owners....



True, but remember--you are not a resident of Hawaii and, therefore, neither a voter or even a potential voter. If you're not a constituent, you're an easy target for junk fees and taxes. And Hawaii loves its taxes.


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## BocaBoy (Apr 6, 2017)

jpc763 said:


> For timeshare owners?  Just got back from Ko Olina and hit with an $8.89 per day tax   I don't remember this last time I went.


I believe it has been in effect since before Marriott's Ko Olina Beach Club even opened.  The amounts have steadily increased overt the years, however.


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## Kapolei (Apr 6, 2017)

9.25% x half daily maintenance according to pdf I just read from tax dept... sorry my link is bad

Resorts need to take care of this.

It is not exactly a double tax.  Counties take your property tax.  State takes this tax.


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## Kapolei (Apr 6, 2017)

jpc763 said:


> Hmmm.  So I pay property tax already, but now I have to pay a transient tax because I am not a permanent resident?
> 
> What if I just bought a condo over there and vacationed part time?
> 
> Another way to stick the tax burden to the timeshare owners....



The County would tax you on property.  The state would not receive taxes from you.  If you rent the condo to transients, then there would be a transient accommodation tax. 

Working people in Hawaii share in paying for schools, parks, roads and so on.  This maintains a quality of life comparable to other US locations.  You can certainly find places with equal beauty in other countries with cheaper on the ground costs.  Some people come to Hawaii because they want to have the beauty plus remain in the USA.


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## lizap (Apr 6, 2017)

Sandy VDH said:


> It is better than the new tax USVI just implemented, they wanted $30/day, but they passed a $25/day tax for timeshare occupants.  No variation for size or value.
> 
> I expect the Marriotts which have some of the highest MFs to have the highest tax, since it is calculated based on some formula off MF for the unit type/size you are in.




Was thinking the same thing, Sandy..


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## Tamaradarann (Apr 7, 2017)

i don't like the transient occupancy tax, and I don't think it is fair since timeshare owners already pay property tax since they so own a share of property.  I do pay it gladly since I love being in Hawaii so I will deal with it. 

However, there are some other tax rates I don't agree with which don't personally cost me negatively but effect lower income Hawaii residents negatively.  Supermarket food is taxed just the same as restaurant food and non food items that are purchased.  In NY supermarket food is NOT taxed.  The lower income Hawaiian residents spend a greater portion of their income on supermarket food than higher income residents or tourists.

Also, property taxes are very low compared to the property taxes where I live.  The teachers get paid less than half of the salaries of the teachers where I live.  The public schools where I live are far superior to the public schools in Hawaii.  Higher income families in Hawaii send their children to private schools so they don't care about the quality of the public schools and don't want to raise the property taxes.  Furthermore, the low property taxes support the high real estate values in Hawaii.  The real estate investment carrying costs are drastically reduced by the low property taxes making purchases of multiple million dollar condos very attractive.


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## Kapolei (Apr 7, 2017)

Unlike most other places, schools in Hawaii are funded by the state instead of the counties. So property taxes do not pay for schooling.  Nobody likes taxes.  There is always going to be parts of government that people are going to scratch their heads about.  And people will always wonder why they got to pay for other people's choices in life.  That is the reality everywhere.  Hawaii is not going to win any contests here.  But Hawaii remains a top travel destination.


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## Tamaradarann (Apr 7, 2017)

Kapolei said:


> Unlike most other places, schools in Hawaii are funded by the state instead of the counties. So property taxes do not pay for schooling.  Nobody likes taxes.  There is always going to be parts of government that people are going to scratch their heads about.  And people will always wonder why they got to pay for other people's choices in life.  That is the reality everywhere.  Hawaii is not going to win any contests here.  But Hawaii remains a top travel destination.



Since I brought up the issue of low property taxes and poor public schools in Hawaii I need to express my thoughts further.  First of all just because schools are presently funded by the state that doesn't mean that it can't be changed.  Furthermore, the counties are constantly asking for more aid from the state of Hawaii just as the counties, towns, and school districts on Long Island where we live are constantly asking for more aid from the state of New York.  Therefore, instead of the state aiding the counties the state could keep all the funds for better public schools and tell the counties to raise their property taxes, (particularly on high priced properties and investment properties where owners don't live).  Because the schools are excellent on Long Island people with high incomes send their children to public schools and have an interest in the quality of the public schools.  In Hawaii that is not the case.  It is a never ending cycle that keeps the public schools having low quality for the low income people.  

Finally, I agree that Hawaii remains a top travel destination.  I love being there.  However, timeshare owners shouldn't be paying more taxes for their timeshare units than properties in other locations while the property taxes on high priced properties and investment properties are inordinately low and the real estate prices are inordinately high and going higher all the time.


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## dioxide45 (Apr 7, 2017)

Oluolukeakua said:


> *Occupancy Taxes...Since January 1, 1999*
> 
> Aloha All!
> 
> After some research, the State of Hawaii started charging the timeshare occupancy tax to the person who occupies the unit as of January 1, 1999.  The amount varies from property to property since the amount is based on the fair market value of the unit occupied.  They have a lot of information on the State of Hawaii's Fact Sheet regarding the TOT at: http://files.hawaii.gov/tax/legal/taxfacts/tf98-04.pdf


Thus as long as MFs keep going up, the tax amount goes up to. Perhaps a good reason for HOAs to try to keep MF increases to a minimum?


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## tompalm (Apr 29, 2017)

More bad news, the legislators just passed a bill yesterday to raise the occupancy tax from 9.25 to 12 percent. I didn't catch when that goes into affect, but once it happens everyone staying in a hotel, Air BnB, or any rental that last less than six months will have to pay it. They had to find more money to pay for the rail and they still don't have enough to finish the rail. So the tax raising is still going to get worse for everyone. There are a lot of other cities that have high hotel tax rates. But most cities don't have high hotel prices like Hawaii. At some point, it will cause tourism to slow down.


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## taffy19 (Apr 30, 2017)

Maui property tax for timeshare owners are going up again from $14.31 to $15.43 according to this link here:

http://mauicounty.us/2018budget/

The new rate goes in effect on July 1.

I don't remember how much we paid last year but it was listed on our maintenance fee bill.

There is also a difference between the TAT and TOT fee as I read that the other day on Facebook, I believe.  I will try to find that link again.


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## DeniseM (Apr 30, 2017)

> Thus as long as MFs keep going up, the tax amount goes up to. Perhaps a good reason for HOAs to try to keep MF increases to a minimum?



BUT - at MF's go up - *management fees go up* too, so the management companies have little motivation to keep them low and in many cases, they control the HOA's.


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## taffy19 (Apr 30, 2017)

DeniseM said:


> BUT - at MF's go up - *management fees go up* to, so the management companies have little motivation to keep them low and in many cases, they control the HOA's.


True and this is probably also the reason that they have gone over to selling points instead of a deeded week.  People can buy a fraction of time in HI or anywhere but the person with the most points will most likely get the earliest reservation rights and then other people will get discouraged so get rid of the points again and the developers can sell the points at another big profit.  They sell us flexibility but, IMO, it is one big racket.

Tourism is booming in Hawaii at the moment and they are certainly catering more to the Asian or Global market.  I like the decor as it is not as heavy as the old-fashioned American traditional furniture.  I was blown away by the newest HGVC tower with the beautiful wooden floors and Monkey pod wooden dining room table and bar counter tops.  So much nicer than the stark white island table in the kitchen at the Westin Nanea.  What were they thinking?

I found two other links again about the difference between the TAT and TOT tax.  Another racket too but once the economy turns, the timeshare owners are the people who keep them afloat.  They should treat us better but we are a cash cow to them.  One day they will regret it, I hope.

http://files.hawaii.gov/tax/legal/brochures/transient_accomodations.pdf

and:





By TUGger Syed Sarmad but from a good year ago.


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## taffy19 (Apr 30, 2017)

Luanne said:


> Hmmm, we paid $4.12/day tax on for our two week stay on Maui.  Wonder why the difference?   We are owners at the resort, but weren't staying during the week we own.
> 
> Honestly, I didn't think it was bad.  I've stay other places with a much higher per day fee.


I just looked at our two bills from our stay in Maui.  The Marriott charged us $16.20 a day for a 2 BR and the Hyatt $8.58 for a 1 BR.  I haven't seen the other two bills yet.


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## PamMo (Apr 30, 2017)

iconnections said:


> Maui property tax for timeshare owners are going up again from $14.31 to $15.43 according to this link here:
> 
> http://mauicounty.us/2018budget/
> 
> The new rate goes in effect on July 1...



Ugh!!! Again, owners are asked to pay a disproportionate share.


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## lynne (Apr 30, 2017)

tompalm said:


> More bad news, the legislators just passed a bill yesterday to raise the occupancy tax from 9.25 to 12 percent. I didn't catch when that goes into affect, but once it happens everyone staying in a hotel, Air BnB, or any rental that last less than six months will have to pay it. They had to find more money to pay for the rail and they still don't have enough to finish the rail. So the tax raising is still going to get worse for everyone. There are a lot of other cities that have high hotel tax rates. But most cities don't have high hotel prices like Hawaii. At some point, it will cause tourism to slow down.



I believe that the tax increase is for Honolulu County only.


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## Tamaradarann (Apr 30, 2017)

PamMo said:


> Ugh!!! Again, owners are asked to pay a disproportionate share.
> 
> View attachment 3767


I don't understand why timeshares are charged more tax than hotels.  $15.43 vs. $9.37.  The tax on hotels brings in 3 times as much as timeshares since there are more of them.  If they charged them the same rate they would collect about $60,000,000 more or about a 20% increase in revenue.  That could prevent them from having to raise taxes again for a number of years.


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## alohakevin (May 1, 2017)

Seems as though there is still time to way in on this if so desired. I realize we go through this every year but at what point is enough. This is absurd. We pay 5.4 times more in taxes than a local on top of TOT for property we own. I was seriously considering picking up another 2bm/ LO on Maui but can't stomach this. Hawaii is paradise but I am very close to marginal return. It's infuriating being the butt of their illegitimate extortion. I am a past Mayor and am very familiar with Municipal and County taxing authorities and am in awe of the arrogance of - and disdain with which the board treats timeshare owners. If one of their constituents was being treated this way they would be screaming from the mountain tops. Ohh the injustice- unless your a timeshare owner from the mainland.


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## alohakevin (May 1, 2017)

Just an FYI


*Schedule by Department (subject to change)*

March 30 – Budget overview, revenues, countywide costs, Department of Finance
March 31 – Department of Housing and Human Concerns, excluding Animal Management, Department of Water Supply
April 4 – Department of Parks and Recreation
April 5 – Office of the Mayor, excluding Office of Economic Development, Department of Personnel Services
April 6 – Rates and fees, General Budget provisions
April 7 – Department of Planning (Rates & Fees), Dept. of Public Works (Rates & Fees), Department of Police (CIP, Category ABC, Grants, and special purpose revenues), Department of Water Supply (Rates & Fees)
April 11 – Department of Corporation Counsel, Department of Public Works
April 12 – Department of Fire and Public Safety, Department of Management
April 13 – Department of Prosecuting Attorney, Department of Liquor Control
April 17 – Office of Economic Development, Department of Transportation
April 18 – Department of Housing and Human Concerns (Grants and Animal Control Management)
April 19 – Department of Environmental Management
April 20 – Real Property Tax, Emergency Management Agency, Department of Planning
April 21 – Office of the County Auditor, Office of the County Clerk, Office of Council Services
April 24 – 28 – Decision-making
May 12 – Public Hearings
May 19 – First reading
May 30 – Second reading
June 10 – Council’s deadline to approve the FY 2018 budget
Testimony will also be accepted at any of the posted meetings in the Council Chambers throughout the deliberations and decision-making process. Each meeting agenda will be available at MauiCounty.us/agendasand testimony will also be accepted via email at bf.committee@mauicounty.us.


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## taffy19 (May 1, 2017)

I doubt if it will make a difference unless many timeshare owners will come to the meeting and voice their objections or all of us send an email instead.

We went to a meeting once a few years ago and there were many Westin timeshare owners present because they were hit the hardest of all timeshare owners on Maui. I believe that they ended up having to pay up anyway or it may still be fought in court.

I tried to find the old link of that meeting and I also Googled for the person who was involved with the Timeshare Ohana Pac and there are several links to read about it still how politics work.

Here are also a few links about the rail project on Oahu today that will go ahead and the taxes involved for that project.

http://www.hawaiinewsnow.com/clip/1...n-to-extend-funding-for-honolulu-rail-project

http://www.hawaiinewsnow.com/clip/1...down-todays-major-financing-agreement-on-rail


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