In an open election held on May 19, 2015 the citizens of the City of Kellogg voted to pass Ordinance No. 574 to incorporate a Municipal Non-Property Local Option Tax (Hotel-Motel Tax). These tax procedures went into effect October 1, 2015.
The ordinance works in conjunction with the Short-Term Rental Permit process and affects businesses or individuals who are engaging in or conduction the business of renting: a hotel/motel room, vacation rental/tourist home, condominium, bed & breakfast, and/or rooms within a residence or condominium for a period of thirty (30) days or less, herein referred to as short-term rentals (STR).
The ordinance requires every business or person who is engaging in or conducting the business of short-term room rentals to file with the City Clerk/Treasurer an application for Municipal Non-Property Tax Permit. Upon filing a completed application form the City Clerk/Treasurer will issue a numbered permit to be conspicuously displayed at all times at the location(s) for which it is issued. A five and one-half percent (5.5%) occupancy tax shall be collected by the owner, manager, agent, or responsible person on any short-term room rentals and remitted to the City of Kellogg.
Local Option Tax (LOT) Reporting & Related Documents
2023 Tourist Lodging Tax Renewal
Resort City Local Option Non-Property Tax (L.O.T.)
In an open election held on May 26th, 2023 the citizens of the City of Kellogg voted to pass Ordinance No. 623 effectively increasing the existing room occupancy tax (L.O.T.) from 3.5% to 5.5%.
These and other amendments –including increase in penalties, addition of approved uses, and duration of the ordinance–went into effect June 1st, 2023.
Kellogg’s existing L.O.T. is paid ONLY by visitors staying in hotel-motels and vacation rentals; Kellogg residents do not pay local option non-property tax.
In 2015, Kellogg residents voted to adopt Ordinance 574, effectively approving a local option non-property tax on tourist lodging.
Idaho cities with a population of 10,000 residents or fewer may implement a local option non-property tax to offset tourists’ impact on city streets and infrastructure, lessening the burden on residents. Certain changes made to the L.O.T. are subject to voter approval.
For a complete list of approved and proposed uses, see section 1-17-4 of Ordinance 623.