All hotels and motels, regardless of size, must collect an occupancy tax from their guests. The total tax collected by the hotel is a combination of State, City, County and Houston Sports Authority occupancy taxes.  However, the Harris County Tax Assessor-Collector collects only for Harris County and the Houston Sports Authority.

Every sole proprietorship, partnership, or corporation that owns, operates, manages or controls any hotel or motel in Harris County must file a quarterly report with the Harris County Tax Assessor-Collector declaring receipts collected and occupancy taxes paid.  This report must be filed on or before the last day of the month following the end of each calendar quarter.

Certain guests are exempt from paying the Hotel Occupancy Tax. They include:

• Federal personnel on official business with ID and Exemption Certificate
• Diplomatic personnel, with a photo ID, a card issued to them by the U.S. Department of State and an Exemption Certificate
• Military personnel traveling on official business
• An employee or officer of a state agency, institution, board, or commission, other than an institution of higher education, who is provided with a photo ID verifying identity, exempt status, and an Exemption Certificate
• Stays of 30 days or more are exempt, but only if the guest advises the hotel/motel UPON ARRIVAL, of his or her intent to stay 30 days or longer. Otherwise, the first 30 days are taxable.

Certain religious, charitable, and educational groups, including state and private universities, are exempt from only the State of Texas portion of the Hotel Occupancy Tax. These groups must provide a written statement from their organization testifying to the official nature of the hotel stay.

There are no exemptions for non-profit organizations such as business leagues, chambers of commerce and trade organizations.