PROVIDENCE – One percent local hotel tax collections in Rhode Island for April increased 24.9 percent year over year to $293,396, according to a Tuesday report by the R.I. Department of Revenue.
Much of the year-over-year increase can be attributed to revenue generated by the expansion of the tax to online travel companies, hosting platforms and vacation home rentals, such as Airbnb. Collections attributed to the local 1 percent hotel tax expansion increased to $56,348 in April as opposed to $9,205 the year prior.
Fiscal year-to-date local 1 percent hotel tax collections in April increased 13.8 percent to $3.5 million.
Notable collections by municipality:
Year over year the municipality with the largest nominal increase was New Shoreham, which reported a $15,582 uptick in April to $17,046. New Shoreham collections also increased the most nominally of any municipality fiscal year to date, increasing 103.5 percent to $241,146.
The largest nominal decrease in the state for April local hotel tax collection was in Middletown, where collections fell $1,428 to $19,632. The largest nominal decrease fiscal year-to-date was Pawtucket, where collections declined $16,651 to $1,564.
Providence accounted for the largest 1 percent local hotel tax collection in April, with $85,770 for the month. Newport has produced the largest amount of the tax year to date, with $865,090 collected by hoteliers in the City by the Sea.
Chris Bergenheim is the PBN web editor.
