King County Tax Change for Hostels, August 2015
- Sales Tax News
- Jul 17, 2015 | Gail Cole
King County is the most populous area of Washington State — home to more than 2 million people. It runs along Puget Sound from Shoreline through Seattle to Federal Way, and east into pockets of the Cascade Mountains. It is an area that draws visitors both for its natural beauty and its cultural activities. For many, affordable lodging means a hostel.
Currently, all hostels in King County are required to collect the convention and trade center tax and report it on their combined excise tax returns. That requirement will change on August 1, 2015, when Substitute House Bill 1516 excludes hostels with 60 or more units from the convention and trade center tax.
Hostel is defined in the measure as follows:
“[A] structure or facility where a majority of the rooms for sleeping accommodations are hostel dormitories containing a minimum of four standard beds designed for single-person occupancy within the facility. Hostel accommodations are supervised and must include at least one common area and at least one common kitchen for guest use.”
Washington Department of Revenue.