# What is a hotel occupancy tax?

> A hotel occupancy tax is a tax on overnight stays set by US states, counties or cities. Rates vary widely, which makes totals hard for AI agents to estimate.

_US · Updated 2026-10-27 · Akkrev, https://akkrev.com/glossary/occupancy-tax/_

A **hotel occupancy tax**, also called a lodging, transient occupancy or hotel room tax, is a tax charged on overnight stays. In the US it can be set by the state, county and city at the same time, sometimes with extra district assessments or flat per-night charges.

## How it's shown

Under the FTC's fees rule, taxes and government charges can be shown separately from the advertised total, but their amount and purpose must be disclosed before the guest is asked to pay.

## Why it matters for AI agents

Rates differ from place to place, and many states stop charging occupancy tax after a set number of consecutive nights. An agent can estimate, but estimates are risky when a guest has a firm budget. The booking engine knows the exact amount. Showing it before the guest's details are entered lets the agent compare real totals. See [hotel occupancy taxes and AI agents](https://akkrev.com/blog/hotel-occupancy-taxes-ai-agents-us/).

The UK equivalent is a [visitor levy](https://akkrev.com/glossary/visitor-levy/).

## Why it matters for AI visibility

Taxes change the totals AI compares. Clear, complete prices help you compete fairly in AI answers.

---

Akkrev gets hotels, restaurants and cafés recommended by AI assistants. Get started: https://akkrev.com/start/