Transient Occupancy Tax (TOT)/Tourism Marketing District (TMD)

The Office of the City Treasurer is responsible for the administration and collection of the Transient Occupancy Tax (TOT) and Tourism Marketing District (TMD) assessment. The TOT applies to all properties rented to Transients. A Transient is any person who exercises occupancy or is entitled to occupancy for less than one (1) month.  In addition, lodging businesses may be subject to the TMD assessment.

From January 1, 2013 through August 31, 2016, the TMD assessment is applicable to all lodging businesses; however, effective September 1, 2016, the TMD assessment will only be applicable to lodging businesses with 70 or more rooms.

TMD Assessment Update

On August 2, 2016, the City Council approved a PDF icon resolution to modify the existing TMD assessment.  The current TMD assessment which went into effect on January 1,2013 is applicable to all lodging businesses; however, effective September 1, 2016, the Tourism Marketing District (TMD) assessment will only be applicable to lodging businesses with 70 or more rooms.  The new returns, both online and printable versions, will be available on our website on September 1, 2016.

Do I need a Transient Occupancy Registration Certificate?

If your property is located in the City of San Diego and is rented out to Transients for less than one month, you must obtain a Transient Occupancy Registration Certificate. Examples of lodging businesses subject to the TOT include:

  • Hotels and Motels
  • Short-Term Vacation Rentals of any kind (i.e. houses, condos, rooms, or spaces) rented directly by the owner/operator, by property management companies or via internet travel services
  • Recreational Vehicle (RV) Parks and Campgrounds

If you have any questions, please contact the TOT/TMD Administration desk at (619) 615-1530 or [email protected].

How do I obtain a Transient Occupancy Registration Certificate?

You must submit a completed application in order to obtain a Transient Occupancy Registration Certificate.  Applications for a Transient Occupancy Registration Certificate may be submitted:

Office of the City Treasurer
Attn: TOT/TMD Desk
PO Box 122289
San Diego, CA 92112-2289

Operators will receive the certificate via email once the application is processed. 

The certificate number is the account number associated with the lodging business and should be referenced on all remittances and/or correspondence submitted to our office.

What are the current TOT and TMD assessment rates?

Tax/Assessment Rate   
TOT - all lodging businesses 10.50%
TMD assessment category A - all lodging businesses with 30 or more units 1.45%
TMD assessment category B - all lodging businesses 0.55%

Note: Lodging businesses with 30 or more units are subject to both TMD categories A and B, totaling 2% of rent.

Effective September 1, 2016, the TOT and TMD assessment rates will be as follows:

Tax/Assessment Rate   
TOT - all lodging businesses 10.50%
TMD assessment - lodging businesses with 70 or more rooms 2.00%

 

When is my TOT and TMD assessment payment due? How do I remit my TOT and TMD assessment to the City?

The TOT and TMD assessment must be remitted monthly and is due no later than the last day of the following month. For example, the TOT and TMD assessment collected in the month of April must be remitted by May 31. A penalty is due on all late payments. The penalty is 1% of the TOT and TMD assessment due for the first delinquent day, plus one-third (1/3) of 1% for each additional day, not to exceed 25%.

To assist with the calculation of the penalty percentage, see the PDF icon Penalty Table(PDF). The TOT and TMD assessment may be paid online, by mail, or in person.

For additional assistance, please contact the TOT/TMD Administration desk at (619) 615-1530 or [email protected].