FAQs
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
What is a Municipal Accommodation Tax?
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.
Has Frontenac County decided to implement MAT?
No. County Council has approved additional feasibility work to better understand the potential benefits and requirements of a MAT program. Staff expect to report back in spring 2027 with updated findings, options and recommendations.
Who pays the fee?
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.
What types of accommodations would it apply to?
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.
Does MAT apply to restaurants, retail, or other purchases?
No. MAT applies to short-term accommodation stays. It does not apply to purchases at restaurants, shops, attractions, or other businesses.
Is MAT a sales tax?
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.
Are there exemptions?
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.
Can a visitor refuse to pay the MAT fee?
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.
How would collection and remittance work?
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.
How are the funds used?
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:
How will transparency and oversight be addressed?
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.
Will MAT make stays more expensive?
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.
How does MAT help hosts and local businesses?
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.
Why is the County considering short-term rental licensing as part of this project?
One of the practical requirements of a potential MAT program is identifying which accommodation businesses and hosts would be responsible for collecting and remitting the visitor-paid fee.
Short-term rental licensing could provide a reliable way to identify and connect with accommodation hosts and help ensure any future program is administered consistently.
Would the County administer short-term rental licensing?
This is one option under consideration. Township partners would make decisions about their respective licensing bylaws, while the County could potentially provide shared administrative services.
No decision has been made to adopt this approach. Its feasibility, costs and benefits are being examined.
How would MAT be administered if it were introduced?
Several approaches are under review, including municipal administration, third-party service providers, digital collection and remittance systems, and potential shared services.
The review will consider administrative costs, ease of use for accommodation hosts, accurate reporting, consistency across different booking methods, and coordination with Township partners.
How could MAT revenues support tourism?
MAT could create a dedicated source of funding to support initiatives that strengthen Frontenac County as a tourism destination.
Examples could include tourism promotion, visitor information, trails, wayfinding, community events, cultural experiences and improvements to visitor-facing amenities.
Ontario's MAT framework requires a portion of net proceeds to support an eligible tourism entity. The County is exploring potential governance arrangements to ensure transparent management, meaningful tourism industry participation and clear public reporting.
Specific investments have not been determined, however the Frontenac County Destination Development Plan was created with residents, businesses and municipal representatives from across the region. This plan provides a strong foundation to guide implementation and use of funds.
How can accommodation hosts participate?
The County welcomes direct discussions with accommodation hosts and tourism businesses. An Industry Advisory Group is also being established to provide advice during the next phase of feasibility work.
Contact ecdev@frontenaccounty.ca to share your perspective or request a meeting.