Short-Term Accommodation Levy
Starting January 1, 2027, the Town of Lunenburg will charge a 3% levy on short-term accomodations rented within the Town. The purpose of this levy is to help pay for tourism promotion and other tourism related activities in Lunenburg.
Does the Levy Apply to Me?
If you own or operate a short-term accomodation in the Town of Lunenburg, you will likely have to collect this levy if you are required to register with the Province of Nova Scotia's Short-Term Rentals Registration Program.
This includes accommodations such as:
- Short-term rentals (Airbnb, Vrbo, etc).
- Bed and breakfasts.
- Inns.
- Hotels.
- Other accommodations rented for periods of 28 days or less.
The Town uses the Provincial Short-Term Rental Registry to help identify businesses who may need to collect the levy.
If you operate a short-term rental, you must:
- Keep your provincial registration up to date.
- Make sure the Town has your correct contact information.
For information about short-term rentals in the Town of Lunenburg and obtaining the documentation required for Provincial registration :
How to Remit Payments to the Town?
How Much Is the Levy?
The levy is 3% of the accomadation purchase price.
The levy must be collected from the guest at the time of purchase and shown as a separate line item on receipts or invoices.
Operators are responsible for ensuring the levy is properly added to their booking, reservation, point-of-sale, or payment systems. This may include configuring the levy through platforms such as Airbnb or Vrbo, booking software, or other payment processing systems.
What Do Operators Need to Do?
Operators are responsible for:
- Collecting the 3% levy from every applicable guest;
- Add the levy to your payment system.This could mean updating Airbnb, Vrbo, your booking software, or your payment system.
- Keep records of your accomodation sales and the levy collected.
- Submit a monthly remittance to the Town.
- Send the levy money collected to the Town.
Regardless of how bookings are received or payments are processed, operators remain responsible for ensuring the levy is properly collected and remitted in accordance with the Town's Short-Term Accommodation Levy By-law.
When Is the Levy Due?
The levy must be reported and remitted monthly.
Remittance returns and payments are due within 30 days after the end of each month. For example, levy collected in January must be reported and remitted by the end of February.
Example:
|
Reporting Month |
Due Date |
|
January |
February 28 |
|
February |
March 30 |
If you had no bookings or did not collect any levy during a reporting period, you must still submit a Nil Return.
If you stop operating or sell your business, you must submit a Final Return and remit any outstanding levy collected.
How Will Levy Funds Be Used?
Under provincial legislation, levy funds may only be used for tourism-related purposes.
Before levy funds are allocated or spent, Council will engage with short-term accommodation operators and other relevant stakeholders regarding priorities for the use of the funds.
The final decision regarding the use of levy funds rests with Council.
Questions?
For questions regarding the Short-Term Accommodation Levy, please contact:
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902-634-4410 ext 225
A fillable PDF Accomodation Levy Form is available Accomodation Levy Form
or use the following direct remittance form: