5% hotel tax collections decline 34.2% Y/Y in September

COLLECTION OF the 5% hotel tax in Rhode Island in September declined 34.2% year over year to $1.6 million. / PBN FILE PHOTO/JAMES BESSETTE
COLLECTION OF the 5% hotel tax in Rhode Island in September declined 34.2% year over year to $1.6 million. / PBN FILE PHOTO/JAMES BESSETTE

PROVIDENCE – Collection of the 5% hotel tax in Rhode Island totaled $1.6 million in September, a decline of 34.2% from the same period a year earlier, the R.I. Department of Revenue said Wednesday.

The hospitality industry has been one of the hardest hit sectors in state by the COVID-19 pandemic.

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Most of collections came from traditional hotels while $75,560 came from hosting platforms and room resellers.

  • Regional tourism districts were allocated $683,842 for the month. Aquidneck Island received the most of any district for the month at $354,171.
  • Municipalities were allocated $392,721 in September. Newport received the largest allocation of all municipalities for the month, receiving $150,882.
  • R.I. Commerce Corp. was allocated $410,540 of the tax revenue for the month.
  • The Providence Warwick Convention & Visitors Bureau was allocated $140,449 of the revenue.

Fiscal year to date, collection of the 5% hotel tax totaled $6 million as of September, a decline from $9.3 million one year prior.

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