Thinking about hosting a short‑term rental on Marco Island? Getting the taxes and registrations right from day one saves you time, stress, and money. You want clarity on what you must collect, where to register, and how platforms affect your filing responsibilities. This guide walks you through the state and county taxes, required registrations, exemptions, and practical steps to stay compliant. Let’s dive in.
Marco Island rental taxes at a glance
For most short‑term stays, you will collect two taxes on your rental receipts in Marco Island:
- Florida sales tax: 6% on transient rental transactions.
- Collier County tourist development tax (TDT): 5% on transient lodging.
Together, that is typically 11% on the taxable amount for short stays. The taxable base usually includes the rental price and may include mandatory fees tied to the stay, such as required cleaning or resort fees. Optional or separately contracted services may be treated differently. When in doubt, verify how each charge is treated under Florida Department of Revenue guidance and county rules.
Who you register with
Florida Department of Revenue (DOR)
If you make taxable transient rental sales in Florida, you generally must register with the Florida DOR to collect and remit state sales tax. Registration is commonly completed online. After you register, the DOR assigns a filing frequency based on your tax volume. You will file periodic returns and remit the tax you collect.
Collier County for TDT
Collier County requires a separate registration for the tourist development tax. You report and remit TDT directly to the county. Returns are commonly due monthly, but confirm the county’s schedule and deadlines when you register.
City and county local licensing
You may need a local business tax receipt or a vacation‑rental registration through the City of Marco Island and/or Collier County. Local rules can include displaying a registration number in listings, health and safety standards, and occupancy or noise provisions. Check with the city and county planning, building, or zoning departments for current requirements.
DBPR lodging license considerations
The Florida Department of Business & Professional Regulation (DBPR) licenses public lodging establishments under Chapter 509. Whether your short‑term rental requires a DBPR license depends on how your activity fits state definitions and rules. If you operate multiple units or advertise to the public in a way that meets the statutory definition, review DBPR guidance to determine if you must register.
Platform requirements
Some local governments ask hosts to provide registration numbers to platforms. Confirm whether Marco Island or Collier County requires you to display local IDs on listings and whether platforms need them for your account.
What platforms collect and what you still owe
Marketplace platforms may collect and remit certain taxes on your behalf. This varies by platform and by tax type. For example, a platform could collect Florida sales tax but not Collier County TDT, or vice versa.
Here is how to protect yourself:
- Ask your platform to confirm in writing which taxes it collects for Marco Island bookings.
- Keep platform statements that show tax collected and remitted.
- Even if a platform collects some taxes, you may still need to register with the DOR and county and file returns. Some agencies require returns that show tax handled by the platform.
- If a platform does not collect a tax, you are responsible for collecting and remitting the remainder directly.
Exemptions to know
Length of stay
Rentals of six months, or 182 days, or longer to the same person are commonly treated as non‑transient. Those longer stays are generally not subject to state transient rental tax or TDT. Confirm the exact definitions and day counts in DOR and Collier County guidance before relying on this exemption.
Government and certain nonprofits
Some government entities or qualifying nonprofits may be exempt in limited cases when proper documentation is provided. These exemptions are narrow and documentation‑driven, so obtain and keep the required paperwork.
Charges that may not be taxable
Optional services billed separately may be treated differently than mandatory charges bundled with the rental price. Review each fee you charge. If a fee is mandatory and tied to the rental, it is often taxable. Verify treatment with the DOR and the county.
How and when to file
Filing frequency and deadlines
The Florida DOR assigns your sales tax filing frequency based on your tax volume. Collier County sets its own TDT filing schedule, commonly monthly. Confirm exact due dates with both agencies after you register so you can build a reliable calendar.
Penalties and interest
If you do not register, collect, file, or pay on time, both the DOR and Collier County can assess penalties and interest. Set reminders and maintain a simple monthly routine to avoid unnecessary costs.
Records to keep
Keep detailed records for at least three years. Include booking details, invoices and receipts, platform statements, exemption documentation, registration IDs, filed returns, and correspondence with tax offices or platforms. Clear records make filing easier and help you respond to questions quickly.
Audit readiness
Both the DOR and the county can audit rental operators. Be prepared to show why your charges were taxable or exempt and to provide proof of tax remittance. Reconciling your platform statements to your own books and filed returns helps you answer questions with confidence.
Quick startup checklist
- Confirm your stays are transient for tax purposes.
- Register with the Florida DOR for sales tax collection if required.
- Register with Collier County for TDT collection and remittance.
- Check the City of Marco Island and Collier County for any local business tax receipts, vacation‑rental registrations, display requirements, and safety rules.
- Review DBPR criteria to see if a public lodging license applies to your property.
- Ask your platform which taxes it collects for Marco Island. Save written confirmation and monthly statements.
- Itemize invoices so you can track taxable and exempt charges.
- Set a monthly bookkeeping and filing routine. Keep copies of returns and payments.
- If you claim any exemption, collect and retain the necessary documentation.
Local tips for Marco Island hosts
- Build your pricing with taxes in mind. If your platform collects only some taxes, make sure you capture the rest at booking.
- Keep your calendar aligned with filing dates so you can run monthly reports and save statements in one place.
- If you host longer seasonal stays, confirm the length‑of‑stay rules before you advertise special rates.
- Periodically review city and county pages for updates to local licensing or display rules, since regulations can change.
Final thoughts
A smooth hosting experience starts with clear processes for taxes and registrations. When you register with the right agencies, confirm how your platform handles taxes, and keep strong records, you protect your income and simplify year‑round management. If you are weighing a Marco Island purchase with rental potential or planning a sale of an income property, you can pair good compliance habits with local market guidance to reach your goals.
Ready to talk through neighborhoods, pricing, and a plan that fits your lifestyle goals on Marco Island? Schedule a Consultation with Unknown Company to get started.
FAQs
Do I need to register with both Florida and Collier County?
- Yes, if your stays are transient, you typically register with the Florida DOR for sales tax and with Collier County to collect and remit TDT.
What is the total tax rate on short stays in Marco Island?
- For most transient rentals, you collect 6% Florida sales tax plus 5% Collier County TDT for a combined 11% on taxable charges.
Are cleaning fees taxable on my rental?
- Mandatory fees tied to the rental are commonly taxable, while optional separately billed services may be treated differently; confirm with DOR guidance.
If my platform collects taxes, do I still need to file?
- Often yes; you may still need to register and file returns, and you remain responsible for ensuring all applicable taxes are remitted.
How long should I keep my rental tax records?
- Keep detailed records for at least three years, including invoices, platform statements, filed returns, and exemption documentation.
