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CITY OF MODESTO TRANSIENT OCCUPANCY TAX REPORT to INSTRUCTIONS 1. reports and payments are delinquent unless they are either paid in our office or postmarked by the 20th day of the month following the month for which the tax & fee are due. 2. Penalty: 5% times number of months or fraction of month of delinquency to a maximum of 25% of tax due and fee due. 3. Even if there is no tax & fee due, a return must be filed with the Finance Department. See next page for link to a list of taxable rents. INFORMATION No. of Rooms Percent of Occupancy CHANGE OF OWNERSHIP must be filed and reported immediately to the Finance Department. IF BUSINESS IS DISPOSED OF OR SUSPENDED, FINAL RETURN must be filed and tax & fee due paid within 30 days. IF THIS A FINAL RETURN, check here Make checks payable to: CITY OF MODESTO P. O. BOX 3442 MODESTO, CA 95353 Return original to the City of Modesto. Retain duplicate copy for your records. I hereby certify that the statements made hereon are correct. Business Name Signature CALCULATION OF TAX 1. Gross Rent for Occupancy of rooms $ LESS ALLOWABLE DEDUCTIONS: 2. Rent for occupancy by permanent residents (those who have signed an agreement to rent for more than 27 consecutive days). $ 3. Rent covered by Exemption Certificates. Copy required. **SEE BACK FOR FURTHER INFORMATION.** $ 4. Total Allowable Deductions: (Line 2 plus line 3) $ 5. Taxable Rents: (Line 1 less line 4) $ 6. Tax: of line 5) $ 7. Fee: (1.5% of line) 8. Penalty: (If applicable) (See No. 2 Instructions) $ 9. Total Tax & Fee Due: (Add lines 6, 7 & 8) $ PLEASE DO NOT WRITE BELOW VALIDATE: P. M. DATE Invoiced for penalty: $ Date -OVER - Title Date ---PAGE BREAK--- CITY OF MODESTO EXEMPTIONS TO TRANSIENT OCCUPANCY TAX (TOT) Section 8-2.604 of the Modesto Municipal Code states that no Transient Occupancy Tax shall be imposed upon: Any person as to whom, or any occupancy as to which it is beyond the power of the City to impose the tax herein provided: Any officer or employee of a foreign government who is exempt by reason of express provisions of federal law or international treaty. Any officer or employee of the United States Government, or of a federal credit union, or of a state, county, city or other domestic public entity who pays rent in the discharge of official government business. Any officer or employee of a bank or insurance company who pays rent in the discharge of official bank or insurance company business. Rent paid to any hospital, medical clinic, convalescent home or other temporary or permanent domicile equipped primarily for the care of aged or infirm people. Any person, transient or operator upon whom the tax would not have been imposed by application of definitions in Section 8-2.602 as they were prior to this amendment. No exception shall be granted except upon a claim therefore made at the time rent is collected and under penalty of perjury upon a form prescribed by the Tax Administrator. “Transient” means any person who exercises occupancy or is entitled to occupancy by reason of concession, permit, right of access, license or other agreement for a period of twenty-seven (27) consecutive calendar days or less, counting portions of calendar days as full days. Any such person exercising occupancy shall be deemed a transient until the period of twenty-seven (27) days has expired unless there is an agreement in writing between the operator and the occupant providing for a tenure of greater than twenty-seven (27) days for compensation. TYPICAL EXEMPTIONS NOT ALLOWED ► Non-Profit Employees or Representatives EXEMPTION(S) ALLOWED Section 28 or Article XII of the California constitution provides that insurance companies which are subject to the California Gross Premiums Tax are exempt from taxes (except real property taxes) imposed by municipalities and counties of California. In order to qualify for exemption from City’s Transient Occupancy Tax, patron must pay hotel occupancy with insurance company check or credit card. Proof of such payment shall accompany exemption form submitted by the hotel/motel operator when reporting gross earnings. Taxable Rents Any fee or charge directly related to sleeping accommodations and/or considered mandatory (for all guests) for the privilege of occupancy are considered “rent” and therefore taxable under the Transient occupancy Tax (TOT). A fee does not become exempt from TOT merely by making it a separate line-item charge. To see a examples of hotel fees and charges that are considered taxable please visit: For additional information regarding transient occupancy tax, please call (209) 577-5389. Effective 9/1/2025, the Modesto Tourism Marketing District (MTMD) assessment rate has increased to 1.5%.