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Transient Accommodation Tax

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  • Transient Accommodation Tax



    I got a letter today from RCI about the Transient Accommodation Tax at Worldmark Wine Country Sonoma, Windsor California.

    According to Merriam-Webster Online Dictionary:

    TRANSIENT applies to what is actually short in its duration or stay ie. a hotel catering primarily to transient guests.


    It seems that there now is a Transient Accommodation Tax that Worldmark Sonoma must now collect Taxes of:

    Studio............$39.69
    1 Bedroom.......$49.14
    2 Bedroom.......$49.14
    3 bedroom.......$58.59



    I don't know if it means Owners must pay too. I would think it does.

    Also in the letter.

    RCI is committed to providing you with quality service.

    Should you dedide to cancel your confirmation to Worldmark Wine Country Sonoma County, our standard cancellation guidelines will apply.

    I would think that more and more local and State governments with pass this Tax Law. Hawaii has this law (I believe it is $75 per week in Hawaii. Wisconsin is trying to pass this Tax Law) So now we can add another cost to Timesharing.

    Cost of Resort:
    Maintenance Fees:
    Yearly Exchange Company Fee:
    Exchange Fee:
    Transient Accommodation Tax:
    Energy Surcharge per week:
    Other Fees:

    Does this mean more and more Timeshare Owners will either sell their Timeshare or will use their weeks to control cost?

    I don't know. But it sure would seem that there will be less Exchanges available in the future.

    It does make one think about the direction that timesharing is going.

    Walt

  • #2
    Yes, WorldMark owners need to pay these taxes as well. We pay it when we book the reservation.
    My Rental Site
    My Resale Site

    Comment


    • #3
      Timesharing users should have to pay transient occupancy taxes. That is if they don't own the unit. In WorldMark, you pay it whether or not you own.

      State and local governments lose this revenue when hotels convert to timeshares. An exchanger coming into a unit is really renting that unit from the owner. And, they are renting their unit to another owner.

      The next step will be for the IRS to tax the imputed rent you get for exchanging. I don't think it will happen until you must pay taxes on the imputed rent you collect for living in your own home.
      My Rental Site
      My Resale Site

      Comment


      • #4
        Questions

        Originally posted by BocaBum99
        Timesharing users should have to pay transient occupancy taxes. That is if they don't own the unit. In WorldMark, you pay it whether or not you own.

        State and local governments lose this revenue when hotels convert to timeshares. An exchanger coming into a unit is really renting that unit from the owner. And, they are renting their unit to another owner.

        The next step will be for the IRS to tax the imputed rent you get for exchanging. I don't think it will happen until you must pay taxes on the imputed rent you collect for living in your own home.

        If I own a fixed week at any Resort, would I have to pay the Transient Occupancy Taxes if I used the weeks I owned?

        What about a Float Week at the same Resort?

        Walt

        Comment


        • #5
          Originally posted by tennisWalt
          If I own a fixed week at any Resort, would I have to pay the Transient Occupancy Taxes if I used the weeks I owned?

          What about a Float Week at the same Resort?

          Walt
          It depends on the state laws. The state can write it anyway they want within the framework of their state constitution.
          My Rental Site
          My Resale Site

          Comment


          • #6
            Originally posted by tennisWalt
            If I own a fixed week at any Resort, would I have to pay the Transient Occupancy Taxes if I used the weeks I owned?

            What about a Float Week at the same Resort?

            Walt
            You would if you own in Hawaii. Whoever occupies the unit has to pay TOT in Hawaii. BY the way Hawaii started the TOT on timeshares and other place have followed their lead.

            Comment


            • #7
              what?

              How can I be a transit if I own the property??? I have a deed??? I think someone needs to take this one to court??? Seems alittle unfair--- if I own a house there but only stay in the house 1-2 weeks a year am I still a transit???
              makes ya go hmmmm

              Comment


              • #8
                Originally posted by Dancingfish
                How can I be a transit if I own the property??? I have a deed??? I think someone needs to take this one to court??? Seems alittle unfair--- if I own a house there but only stay in the house 1-2 weeks a year am I still a transit???
                makes ya go hmmmm
                Given that the tax is about $3-5/day, it's not worth worrying about. You'll pay more than that on tips.
                My Rental Site
                My Resale Site

                Comment


                • #9
                  Originally posted by tennisWalt


                  I got a letter today from RCI about the Transient Accommodation Tax at Worldmark Wine Country Sonoma, Windsor California.

                  According to Merriam-Webster Online Dictionary:

                  TRANSIENT applies to what is actually short in its duration or stay ie. a hotel catering primarily to transient guests.


                  It seems that there now is a Transient Accommodation Tax that Worldmark Sonoma must now collect Taxes of:

                  Studio............$39.69
                  1 Bedroom.......$49.14
                  2 Bedroom.......$49.14
                  3 bedroom.......$58.59



                  I don't know if it means Owners must pay too. I would think it does.

                  Also in the letter.

                  RCI is committed to providing you with quality service.

                  Should you dedide to cancel your confirmation to Worldmark Wine Country Sonoma County, our standard cancellation guidelines will apply.

                  I would think that more and more local and State governments with pass this Tax Law. Hawaii has this law (I believe it is $75 per week in Hawaii. Wisconsin is trying to pass this Tax Law) So now we can add another cost to Timesharing.

                  Cost of Resort:
                  Maintenance Fees:
                  Yearly Exchange Company Fee:
                  Exchange Fee:
                  Transient Accommodation Tax:
                  Energy Surcharge per week:
                  Other Fees:

                  Does this mean more and more Timeshare Owners will either sell their Timeshare or will use their weeks to control cost?

                  I don't know. But it sure would seem that there will be less Exchanges available in the future.

                  It does make one think about the direction that timesharing is going.

                  Walt
                  I'm surprised it has taken this long for Sonoma to charge it.

                  We paid it in Laguna Beach ages ago as well as Hawaii. Most if not all caribbean resorts collect a tax in addition to the departure taxes on your airline ticket to leave.

                  You pay taxes ( sometimes exorbinant ones like here in NYC ) on hotels. Why not trades?

                  I honestly don't remember if we were charged a TOT at Desert Breezes in Palm Desert the couple of times we stayed there. I don't think so but it has been a very long time since we stayed at our home resorts.
                  Lawren
                  ------------------------
                  There are many wonderful places in the world, but one of my favourite places is on the back of my horse.
                  - Rolf Kopfle

                  Comment


                  • #10
                    Originally posted by lawren2
                    I'm surprised it has taken this long for Sonoma to charge it.

                    We paid it in Laguna Beach ages ago as well as Hawaii. Most if not all caribbean resorts collect a tax in addition to the departure taxes on your airline ticket to leave.
                    Yes, Laguna Beach has had this TOT tax for many years but it wasn't charged to the timeshare owners. I'll bet you Laguna Beach will change it soon since Hawaii is getting away with it and other cities and states will start collecting too. You will see!

                    Comment


                    • #11
                      Originally posted by BocaBum99
                      Given that the tax is about $3-5/day, it's not worth worrying about. You'll pay more than that on tips.
                      It's more like $7 per day for a two bedroom or $11 per day for a three bedroom timeshare condo in Hawai. Most of the tax money is not used wisely and that's what I object to.

                      Comment


                      • #12
                        You hit it

                        Originally posted by iconnections
                        It's more like $7 per day for a two bedroom or $11 per day for a three bedroom timeshare condo in Hawai. Most of the tax money is not used wisely and that's what I object to.
                        Exactly. Not only that, $7 here and $7 there....

                        Earlier this week, NJ just shut down and told "non-essential" government workers to go home. The government shouldn't be involved in "non-essential" initiatives in the first place.

                        Comment


                        • #13
                          I would love to see someone nail these state tax bandits in federal Court.

                          North Carolina has had a couple of taxes where irrate taxpayers have done that and won, and the state had to refund big bucks.



                          Originally posted by Dancingfish
                          How can I be a transit if I own the property??? I have a deed??? I think someone needs to take this one to court??? Seems alittle unfair--- if I own a house there but only stay in the house 1-2 weeks a year am I still a transit???
                          makes ya go hmmmm

                          Comment


                          • #14
                            Yeah most of the money from tax do not used wisely and that is what tax payer don't really want..

                            Comment


                            • #15
                              In some cases I believe that Trendwest negotiated with local governments to have occupants pay an occupancy tax in exchange for getting development rights. IMHO - this is a prime example of how the Trendwest domination of the WM Board of Directors screws WM owners.

                              If the WM Board of Directors were truly independent they would be screaming about how TW is transferring project development costs to WM owners. More profit for TW and it's coming straight out of the pockets of WM owners and users.
                              “Maybe you shouldn't dress like that.”

                              “This is a blouse and skirt. I don't know what you're talking about.”

                              “You shouldn't wear that body.”

                              Comment

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