FAQs

Municipal Accommodation Tax (MAT) is a tool available to Ontario municipalities to apply a visitor-paid fee on short-term accommodation stays (generally 30 days or less). Communities use this revenue to support destination development and strengthen the visitor experience, including tourism marketing, visitor services, wayfinding, trails, amenities, and related improvements.

If implemented, the visitor would pay the fee as part of the accommodation invoice for eligible short-term stays (generally 30 days or less) at accommodations such as hotels, motels, resorts, bed and breakfasts, and vacation rentals. The accommodation provider collects the fee from the visitor and remits it as required.

If implemented, MAT would apply to short-term stays (generally 30 days or less) at accommodations such as hotels, motels, resorts, bed and breakfasts, and vacation rentals, as defined in any future by-law.

No. MAT applies to short-term accommodation stays. It does not apply to purchases at restaurants, shops, attractions, or other businesses.

No. Ontario municipalities do not currently have authority to levy a general municipal sales tax. MAT is a visitor-paid fee applied to short-term accommodation stays.

MAT typically applies to short-term stays (generally 30 days or less). Exemptions are set out through provincial rules and a local by-law. Any local exemptions, if proposed, would be considered during future by-law development.

No, guests are required by provincial legislation to pay the MAT fee.

If MAT is implemented through a municipal by-law, it would be applied to eligible stays and included on the accommodation invoice. In that case, visitors would be expected to pay it in the same way other invoiced accommodation charges are paid. 

Accommodation providers collect the fee from visitors and remit it to the municipality (or a designated administrator, if used). Remittance process and frequency for Frontenac would be confirmed through the feasibility work and any future by-law. To keep administrative burden low, third-party administration is one option being explored.

If implemented, at least 50% of revenues would be directed to an eligible tourism entity dedicated to destination development and tourism marketing. Best practice for the municipal share is to invest in tourism-facing assets that support the visitor experience (for example trails, signage/wayfinding, beaches and waterfront access, and boat launches). Specific categories, programs, and projects would be determined through the governance and oversight approach. Transparency and public reporting on amounts collected, investments made, and outcomes would be part of the accountability approach.  

Spending would be guided by the Frontenac Destination Development plan, and MAT revenues could be used for:

• Trail and wayfinding improvements, visitor amenities, and signage

• Visitor services, marketing, and digital tools that make it easier to plan and explore

• Culinary, arts & culture, and outdoor-recreation experience development

• Data, research, and performance measurement to help hosts and businesses grow

Governance options under consideration include establishing a Municipal Services Corporation (MSC) to strengthen transparency and enable industry involvement in oversight of fund use and reporting on outcomes. No decisions have been made.

Yes, it would add a small amount to the cost of an eligible stay. For example, at 4%, a $200 accommodation charge would add $8. Staff are reviewing design options to manage risk and support competitiveness.

If implemented and reinvested effectively, MAT can support destination development and improvements that strengthen the visitor experience. This can support stronger tourism marketing, better information and wayfinding, and improved tourism-facing assets, which may contribute to guest satisfaction and support local businesses and accommodation demand.