State Tax Day - Current, S.5, Illinois—Sales and Use Tax: Guidance Issued on July 1 Hotel Tax Changes, (Jul 2, 2026)

Illinois issued guidance on changes to the hotel operators’ occupation, effective July 1, 2026, that:

• eliminate the 200-transaction threshold for requiring re-renters of hotel rooms to collect and pay the tax; and

• expand collection and payment requirements to hotel marketplace facilitators that meet a $100,000 gross rental receipts threshold.

The guidance provides information on:

• the definitions of "hotel marketplace,""hotel marketplace facilitator," and "re-renters of hotel rooms";

• how the gross rental receipts threshold determination is made;

• business registration requirements;

• reporting and payment procedures; and

• recordkeeping requirements.

Informational Bulletin FY 2026-33, Illinois Department of Revenue, June 2026, ¶404-265