Tourist accommodation encompasses any establishment that provides lodging for a fee. This category includes larger commercial properties, such as hotels, resorts, hostels, and inns, as well as short-term rentals (STRs), which usually involve private residences rented out for short stays.
Operators of both larger commercial properties and STRs must obtain a business licence from the City of Yellowknife, and some may require additional permits.
Beginning April 1, 2025, a 4% Tourist Accommodation Tax will be applied to the purchase price, which includes the basic room rate, and any additional charges or fees directly related to the stay. The 4% tax is collected by the operator, and remitted to the City of Yellowknife. The funds collected through this tax will be strategically allocated to grow the tourism sector in Yellowknife. For further details on the specifics of the tax and its intended use, please refer to Tourist Accommodation Tax By-law No. 5099.
Charging the Tax
Operators are required to charge visitors who stay in licensed tourist accommodation within the City of Yellowknife a 4% Tourist Accommodation Tax.
Goods and Services Tax (GST)
The Tourist Accommodation Tax is required by the City of Yellowknife and is therefore exempt from Goods & Services Tax (GST) for both you and your guests.
The tourism levy is calculated on the total purchase price of the accommodation. Total purchase price is the total amount that a guest pays for the right to use the accommodation, including any additional charges for extra beds, cots, cribs, linens, pets and cleaning, but not including the federal goods and services tax (GST).
For example, you provide a room in your hotel for $200 per night, which includes a cleaning fee.
Purchase Price: $200.00
Tourism Tax: ($200 x 4%) = $8
Total (not including GST): $208.00
Informing your customers
The price and total amount of the Tourist Accommodation Tax must be shown on any invoice, receipt, bill or other document issued for accommodations.
Paying the Tax
The City of Yellowknife collects the 4% Tourist Accommodation Tax from operators quarterly, based on total reported revenue. The operator will provide the City with their report via a third-party remittance website, by calling a City of Yellowknife customer service agent, or by paying in person at Yellowknife City Hall.
Even if no revenue was collected during the reporting period, a remittance report must still be submitted.
Note: You are required to maintain records of total revenue, the amount of tax collected, and the taxes paid to the City. These records should be kept for at least six years.
| Collection Period | Payment and Reporting Period |
|---|---|
| January 1 to March 31 | April 1 to April 30 |
| April 1 to June 30 | July 1 to July 31 |
| July 1 to September 30 | October 1 to October 31 |
| October 1 to December 31 | January 1 to January 31 (of the following calendar year) |
For those who wish to submit their report online, please follow the instructions as follows:
Step 1: Go to the online remittance page.
Step 2: Register your account by using your Short-Term Accommodation Business License number. Your email address will be used to send a payment receipt after you have made a transaction. If you do not know your Short-Term Accommodation Business License number, please email @email. Short Term Accommodation Licenses should be displayed on all public listings.
Step 3: Fill in your 3-month total tax receipts, and the number of nights you are reporting.
Step 4: An invoice with line items will be produced.
Step 5: It will ask you to verify your address.
Step 6: Provide your electronic signature and the legal name of whoever is reporting.
Step 7: Pay the total amount owing by credit card.
Penalties
1.5% Interest per month will be charged on all late payments.
Exemptions
The exemptions for the Tourist Accommodation Tax are outlined in Section 70.1(5) of the Cities, Towns and Villages Act, set by Territorial Legislation.
Operators do not need to charge visitors the Tourist Accommodation Tax under the following circumstances:
- The accommodation is outside of the City of Yellowknife’s boundaries
- The length of stay for a guest is more than 30 days
- The rate billed to the guest is less than $20 per night
- The guest is one of the following:
- An employee of the Government of the Northwest Territories travelling for work purposes
- A public agency or other reporting body defined in the Financial Administration Act
- A patient and/or their family on medical travel and/or staying at a hospital or healthcare facility
For general inquiries about the Tourist Accommodation Tax or questions on how to set up an account to submit the remittance report and payment, please contact our Economic Opportunities, Investments and Partnerships Department at @email or call (867) 920-5600.