The bill amends the Revised Code to extend sales and use taxes, as well as local lodging taxes, to short-term rentals, requiring short-term rental platforms to collect these taxes on behalf of the state. It updates the definitions of "transaction" and "hotel" to include "short-term rental property," ensuring these properties are subject to the same tax regulations as traditional hotels. Additionally, it allows convention facilities authorities and lake facilities authorities to levy excise taxes on transactions involving short-term rentals, broadening the scope of taxable lodging options. The bill also introduces an excise tax on lodging transactions in designated lake districts, with provisions for voter approval on the tax rate and duration.

Furthermore, the bill clarifies that operators of short-term rental platforms are considered vendors for transactions involving lodging, aligning their tax obligations with those of traditional hotels. It retains existing definitions and provisions related to sales and vendors while enhancing the regulatory framework for lodging transactions. The bill also allows county commissioners to amend existing resolutions to increase excise tax rates for funding various facilities, with specific conditions for counties of certain populations. Overall, the bill aims to modernize tax regulations, enhance local funding for tourism, and ensure a level playing field in the lodging market.

Statutes affected:
As Introduced: 351.01, 351.021, 353.06, 5739.01, 5739.08, 5739.09, 5739.091, 5741.01