Municipal Accommodation Tax

The 4 % is only applied to the purchase price of the accommodation (i.e., room fee).
MAT does not apply to amenity fees or service charges.

No, as noted above, the MAT is mandatory. It must be paid at the same time you are paying the accommodation provider.

Payment of the MAT is mandatory and is authorized by By-Law 3739-24. The Province enacted Bill 127, Stronger, Healthier Ontario Act, 2017, providing single and lower tier municipalities the authority to levy a transient accommodations tax (or hotel tax). Section 400.1 of the Municipal Act, 2001 and O. Reg. 435/17 Transient Accommodation Tax provide a framework for the administration of a MAT.

If you are charged for the accommodation whether or not you actually occupy it, then MAT will apply.
If you do not cancel your room reservation and you are charged for accommodation (no-show included) the MAT will be charged.
If you are not charged for the accommodation but subject to a cancellation fee, the MAT would not apply.

Fifty per cent (50%) of the net revenue from the MAT will go to the municipality and directed into a reserve fund to be used towards tourism opportunities.
The other fifty percent (50%) of the net revenue will go to a reserve fund until a Destination Marketing Organization (DNO) can be established.
As an eligible tourism entity, the DNO will administer the funds for tourism promotion and development, including a focus on attracting people to Wawa, and more.

Yes, the MAT must be included on every bill, receipt, invoice, or similar document for the purchase of Accommodation.
A separate item identified as “Municipal Accommodation Tax” showing the rate at which the MAT is calculated (4 %) and the amount of the MAT imposed.

If the provider is registered for HST, the accommodation provider is responsible for collecting and remitting the HST on the entire charge including the MAT and remit the HST directly to the Canada Revenue Agency (CRA).
Contact the CRA or your financial advisors if you have further HST questions.

If a guest is charged for accommodation (no-shows included), the MAT is to be collected and remitted.
If the guest is not charged for the accommodation, but is required to pay a cancellation fee, the MAT would not apply to the cancellation fee.

The accommodation provider would be responsible to allocate the revenue between the overnight accommodation and other services, amenities, or other charges separately on the invoice and collect and remit the MAT on the overnight accommodation portion of the fees.
If the fees are not separately listed on the invoice, the MAT applies to the entire invoice.

No, the revenue to be used to calculate the MAT is the purchase price of the accommodation.
Costs incurred to secure or provide the accommodation are not deductible. 

You must complete the MAT Remittance Form on a quarterly basis. See Municipal Accommodation Tax Remittance Booklet for due dates.

These can be submitted via email at ar@wawa.cc

Due Dates: Payment and Submission Information
Q1 (January – March) is due on or before April 30
Q2 (April – June) is due on or before July 31
Q3 (July – September) is due on or before Oct 31
Q4 (October – December) is due on or before January 31

The Municipality has created a MAT Remittance Form (found in the Municipal Accommodation Remittance Booklet) for the collection of payments. This form can be completed online and emailed to ar@wawa.cc along with payment through EFT, or can be printed and dropped off to the Municipal Office at 40 Broadway Ave. and payment may be received through cash, cheque, or debit. Alternatively, a paper copy will also be available at the office.

The MAT is subject to HST. Therefore, you need to charge HST on MAT, and you will need to pay this HST and your other HST payments to the Canada Revenue Agency.

Sample calculation of the MAT and HST:

• Total room charge/rate: $100
• MAT 4 percent: $4
• Net total of rooms charge and MAT: $104  
• HST 13 percent:  $13.52
• Total: $117.52

If you are late to submit the MAT Return by the required due date the amount is automatically determined based on the following calculation:

(amount of revenue that would have been generated had the Establishment experienced full occupancy for the period) x (4% - the amount of MAT that is due and unremitted).

This amount shall be assessed on the first day of default.

The 4% Municipal Accommodation Tax for Wawa properties is not currently being collected by Airbnb and they are not submitting reports to the Municipality of Wawa with respect to the MAT. Airbnb is very specific about the jurisdictions that the MAT is collected in – these jurisdictions are listed on the Airbnb website.
Please contact Airbnb directly for instructions on how to set up the MAT pricing on your listing.

Payment can be made via the following methods: 

• Online Banking
• EFT (Electronic Fund Transfer)
• In person – Debit, Cash or Cheque
• By Mail (only cheques accepted) sent to:

Municipality of Wawa
Attention: Accounts Receivable
P.O. Box 500, 40 Broadway Ave.
Wawa, ON P0S 1K0

Please make cheques payable to: Municipality of Wawa.

Payments must be received at the Municipal Office (40 Broadway Ave.) by the last day of the following month by 4 PM. Please allow sufficient time for mail delivery.

Payments which are returned (NSF) are subject to a fee in accordance with the Municipality’s Schedule of Fees By-law.

Late Payments will be subject to 1.25% in accordance with the municipality's monthly interest charges related to taxation.

Interest at the rate set out in the Municipal Schedule of Fees By-Law as the rate payable on overdue amounts owing to the Municipality, shall be charged on the amount of any MAT owing to the Municipality under this By-law including any MAT assessed under Subsections of this By-Law, from the day following the date on which the MAT was due and payable up to and including the date on which the MAT is paid in full.

Adjustments from prior reporting periods can be made in the period the refund was returned. 

Yes, you will be required to submit the MAT Return for the period indicating no MAT was collected.
If all guests were paid for extended stays (29 days or longer), or, you qualified for another exemption, you must submit a monthly report providing the details for the exemption(s).

The Municipality, and/or its agent, have the authority to inspect and audit all books, documents, transactions, and accounts of accommodation providers.
Accommodation providers must keep books of account, records and all documents related to the sale of accommodations, amount of the MAT collected and remitted to the Municipality for a period of no less than 7 years. (retention as encouraged by the Canada Revenue Agency)

The Accommodation Establishment Information Form (Registration Form) is used by the Municipality to set up your establishment name, address, and contact information correctly in our accounting system.
This information will be associated to your quarterly remittances and payments with the proper establishment.

If the MAT Remittance Form is not completed and submitted when due, the Municipality will assess the MAT based on the average daily rate provided on the Establishment Registration Form multiplied by the number of accommodations available each day during the period which the remittance was due as though all the accommodations had been purchased throughout the period.