Occupancy Tax

Read about Orange County’s Occupancy Gross Receipts Tax. View general filing information, tax payment requirements, and important legal notices.

Overview

In September 1991, the Orange County Board of Commissioners levied an Occupancy Tax on gross receipts derived from the rental of any room, lodging, or similar accommodation within the county. This includes accommodations offered by hotels, motels, inns, bed-and-breakfasts, vacation rentals, and private short-term rentals such as those listed through platforms like Airbnb, VRBO, and others.

Orange County's Occupancy Tax is in addition to any applicable state or local sales or occupancy tax.

Who Must File

Any property owner or operator who rents rooms, lodgings, or accommodations in Orange County for a fee is required to:

• Collect a 3% occupancy tax from customers;
• Submit a monthly occupancy tax report;
• Remit the tax to Orange County Tax Collector;
• Maintain complete and accurate records of taxable accommodations and tax collections.

New! File and Pay Occupancy Tax Online

Orange County now offers a fast, secure, and convenient way to file your monthly occupancy tax return and submit payment online.

Click here to file and pay online: https://pay.orangecountync.gov/form/occupancy-tax

• Ensures immediate posting of your return and payment
• No issues with mail delays or lost submissions
• Paperless process – no printing, postage, or forms needed
• Receive an instant confirmation of your submission

This is the preferred and recommended method for all lodging providers in Orange County.

General Filing Information

• The occupancy tax report must be filed each month on or before the fifteenth (15th) day of the month following the month in which the tax accrues (when the rental activity occurred).
• Legible U.S. Postal Service postmarks dated on or before the 15th are considered timely. Metered mail is not considered timely unless received by the 15th.
• You may email your report to Orange County Tax Administration at: occupancytax@orangecountync.gov . Emailed reports are subject to the same deadline.
• The 3% tax due must be paid by the 15th or penalties will be assessed. See NCGS §105-236 for penalty provisions.
• Penalties apply for both late reports and late remittances.
• Payment must be made by check or money order, payable to Orange County Tax Collector.
  • One check covering all locations may be submitted;
  • However, a separate report must be filed for each location.
• If no tax is owed for a reporting period, you are still required to file a report stating "No Tax Due".
• Reports filed under this ordinance are not public records as defined by NCGS §132-1. Disclosure is limited as required by NCGS §153A-155(d).
• Notify the Tax Office of any changes in address, ownership, or if business operations cease.

Room Occupancy Tax Charges Notice

• A home
• A room in a home
• A cottage
• Hotel or motel room
• Bed and breakfast unit
• Vacation property
• Any other lodging