Chatham Short-Term Rental Taxes and Regulation

In this article, HarborBlue Vacations Rentals breaks down the regulations and taxes for short-term rentals in Chatham, Massachusetts.

Bottom line is that Chatham has a 14.45% tax on short-term rentals, mandatory registration ($50 / year), and inspections for new properties.

Chatham, MA Short-Term Rental Taxes – 14.45%

    • Massachusetts State Sales Tax – 5.70%
    • State Room Occupancy Tax – 6.00%
    • Cape Cod and Islands Water Protection Fund – 2.75%
    • Community Impact Fee – 0.00%
 

If the home is rented for 14 days or fewer during the year, no tax is due.

Chatham, MA Short-Term Rental Regulations (law available here)

    • Register through MA Tax Connect
    • Obtain Certificate of Registration for properties
    • Carry at least $1,000,000 in liability insurance 
    • Comply with Massachusetts lead paint law (or have exception signed by tenant)
    • Register with Chatham through the online portal ($50 / year)
    • Mandatory Health Inspection for new short-term rentals

Are you overwhelmed navigating the complex landscape for taxes and compliance on the Cape? Partner with HarborBlue Vacation Rentals for hassle-free short-term rental management.

Disclaimer: This post is for information purposes, may not be fully exhaustive, and does not constitute legal / tax advice. For any legal / tax advice, please contact a licensed attorney.