The New York Hotel Tax Exempt form, officially known as Form ST-129, allows certain government employees to avoid paying state and local sales taxes on hotel stays while on official business. This form is specifically for employees of the United States, New York State, or political subdivisions of New York State. Proper completion and submission of this form ensure that the hotel charges are exempt from applicable taxes during the designated occupancy period.
The New York Hotel Tax Exempt form, officially known as Form ST-129, serves as a crucial tool for government employees who need to stay in hotels or motels while conducting official business. This form allows qualified individuals—specifically those employed by the United States, New York State, or its political subdivisions—to certify their exemption from state and local sales taxes on occupancy. To utilize this exemption, employees must fill out the form with pertinent details such as the name of the hotel, dates of occupancy, and their governmental entity. The form requires a certification statement affirming that the charges incurred will be covered by the respective government entity and are necessary for official duties. It is important to understand that misuse of this form can lead to severe penalties, including potential criminal charges. The form must be presented to the hotel operator upon check-in or check-out, along with valid identification, and must be retained by the hotel for at least three years. This ensures that both the employee and the hotel operator comply with New York State tax regulations while facilitating smooth transactions for government-related travel.
Misconception 1: Only New York State employees can use the tax-exempt form.
This is not true. While the form is available for employees of New York State, it is also applicable to employees of the United States government and political subdivisions of New York State. This means that federal employees on official business can also utilize the exemption.
Misconception 2: The form can be used by anyone traveling for personal reasons.
In reality, the New York Hotel Tax Exempt form is strictly for government employees conducting official business. Personal travel does not qualify for this exemption, regardless of the employee's status.
Misconception 3: Once the form is submitted, the hotel is responsible for handling all tax matters.
This is misleading. While the hotel must keep the form for their records, the responsibility to ensure the exemption is valid lies with the employee. The employee must provide proper identification and complete the form accurately.
Misconception 4: The tax exemption applies to all hotel fees and charges.
This is incorrect. The exemption only applies to state-administered sales taxes, including the $1.50 hotel unit fee in New York City. Other fees, such as resort fees or additional services, may still be taxable.
Misconception 5: The exemption certificate can be submitted at any time after the stay.
In fact, the certificate must be presented no later than 90 days after the last day of occupancy. If submitted after this period, the hotel operator may need to prove that the occupancy was exempt, which can complicate matters.
When filling out the New York Hotel Tax Exempt form, it is essential to follow specific guidelines to ensure compliance and avoid potential issues. Below are seven recommendations on what to do and what to avoid.
IRS Form 8843: This form is used by certain non-resident aliens to claim an exemption from the substantial presence test for tax purposes. Like the New York Hotel Tax Exempt form, it serves to certify the individual's status and eligibility for tax exemption based on their governmental role.
California Form BOE-230: This is a California sales tax exemption certificate for government entities. Similar to the New York form, it allows government employees to certify that their purchases are exempt from sales tax due to their official capacity.
Florida Form DR-14: This is a sales tax exemption certificate for government agencies in Florida. Like the New York form, it requires certification of the individual's employment status and the purpose of the exemption.
Texas Form 01-339: This is a Texas sales and use tax exemption certificate for government entities. It shares similarities with the New York form in that it provides a method for government employees to claim exemption from sales tax for official business expenses.
Illinois Form CRT-61: This certificate is used by governmental bodies in Illinois to claim exemption from sales tax. Similar to the New York form, it requires verification of employment and the nature of the expenditure.
Pennsylvania Form REV-183: This is a Pennsylvania sales tax exemption certificate for government entities. It functions similarly to the New York form by allowing government employees to certify their tax-exempt status for purchases made in their official capacity.
Ohio Form STEC: This is the Ohio sales and use tax exemption certificate for government agencies. Like the New York form, it allows for the certification of tax exemption status for official government purchases.
Virginia Form ST-12: This is a sales tax exemption certificate for governmental entities in Virginia. It serves a similar purpose as the New York form, enabling government employees to claim exemption from sales tax on official expenses.
Michigan Form 3372: This is a Michigan sales tax exemption certificate for government agencies. It parallels the New York form by requiring government employees to certify their tax-exempt status for purchases made while on official business.
New Jersey Form ST-5: This is a New Jersey sales tax exemption certificate for government entities. Like the New York form, it allows government employees to declare their exemption from sales tax for expenses incurred in the performance of their official duties.
Department of Taxation and Finance
ST-129
New York State and Local Sales and Use Tax
Exemption Certificate
(2/18)
Tax on occupancy of hotel or motel rooms
This form may only be used by government employees of the United States, New York State, or political subdivisions of New York State.
Name of hotel or motel
Dates of occupancy
From:
To:
Address (number and street)
City
State
ZIP code
Country
Certification: I certify that I am an employee of the department, agency, or instrumentality of New York State, the United States government, or the political subdivision of New York State indicated below; that the charges for the occupancy of the above business on the dates listed have been or will be paid for by that governmental entity; and that these charges are incurred in the performance of my official duties as an employee of that governmental entity. I certify that the above statements are true, complete, and correct, and that no material information has been omitted. I make these statements and issue this exemption certificate with the knowledge that this document provides evidence that state and local sales or use taxes do not apply to a transaction or transactions for which I tendered this document, and that willfully issuing this document with the intent to evade any such tax may constitute a felony or other crime under New York State Law, punishable by a substantial fine and a possible jail sentence. I understand that the vendor is a trustee for, and on account of, New York State and any locality with respect to any state or local sales or use tax the vendor is required to collect from me; that the vendor is required to collect such taxes from me unless I properly furnish this certificate to the vendor; and that the vendor must retain this certificate and make it available to the Tax Department upon request. I also understand that the Tax Department is authorized to investigate the validity of tax exemptions claimed and the accuracy of any information entered on this document.
Governmental entity (federal, state, or local)
Agency, department, or division
Employee name (print or type)
Employee title
Employee signature
Date prepared
Instructions
Who may use this certificate
If you are an employee of an entity of New York State or the United States government and you are on official New York State or federal government business and staying in a hotel or motel, you may use this form to certify the exemption from paying state-administered New York State and local sales taxes (including the $1.50 hotel unit fee in New York City).
New York State governmental entities include any of its agencies, instrumentalities, public corporations, or political subdivisions.
Agencies and instrumentalities include any authority, commission, or independent board created by an act of the New York State Legislature for a public purpose. Examples include:
•New York State Department of Taxation and Finance
•New York State Department of Education
Public corporations include municipal, district, or public benefit corporations chartered by the New York State Legislature for a public purpose or in accordance with an agreement or compact with another state. Examples include:
•Empire State Development Corporation
•New York State Canal Corporation
•Industrial Development Agencies and Authorities
Political subdivisions include counties, cities, towns, villages, and school districts.
The United States of America and its agencies and instrumentalities are also exempt from paying New York State sales tax. Examples include:
•United States Department of State
•Internal Revenue Service
Other states of the United States and their agencies and political subdivisions do not qualify for sales tax exemption. Examples include:
•the city of Boston
•the state of Vermont
To the government representative or employee renting the room
Complete all information requested on the form. Give the completed Form ST-129 to the operator of the hotel or motel upon check in or when you are checking out. You must also provide the operator with proper identification. Sign and date the exemption certificate. You may pay your bill with cash, a personal check or credit/debit card, or a government-issued voucher or credit card.
Note: If you stay at more than one location while on official business, you must complete an exemption certificate for each location. If you are in a group traveling on official business, each person must complete a separate exemption certificate and give it to the hotel or motel operator.
To the hotel or motel operator
Keep the completed Form ST-129 as evidence of exempt occupancy by New York State and federal government employees who are on official business and staying at your place of business. The certificate should be presented to you when the occupant checks in or upon checkout. The certificate must be presented no later than 90 days after the last day of the first period of occupancy. If you accept this certificate after
90 days, you have the burden of proving the occupancy was exempt. You must keep this certificate for at least three years after the later of:
•the due date of the last sales tax return to which this exemption certificate applies; or
•the date when you filed the return.
This exemption certificate is valid if the government employee is paying with one of the following:
•cash
•personal check or credit/debit card
•government-issued voucher or credit card
Do not accept this certificate unless the employee presenting it shows appropriate and satisfactory identification.
Note: New York State and the United States government are not subject to locally imposed and administered hotel occupancy taxes, also known as local bed taxes.
Substantial penalties will result from misuse of this certificate.
The New York Hotel Tax Exempt form, known as Form ST-129, is a certificate that allows government employees from the United States, New York State, or its political subdivisions to stay in hotels or motels without paying state and local sales taxes. This form is specifically for those on official government business and certifies that the hotel charges will be covered by a governmental entity.
Only employees of the United States government, New York State, or political subdivisions of New York State can use this form. This includes employees from various agencies, departments, or instrumentalities that are recognized by the state. Examples include the New York State Department of Taxation and Finance and the Internal Revenue Service. However, employees from other states or their agencies do not qualify for this exemption.
To complete the form, you must fill in the following information:
After filling out the form, sign and date it. Make sure to provide proper identification when presenting the form to the hotel operator.
You should present the completed Form ST-129 to the hotel or motel operator either at check-in or check-out. It is important to do this promptly to ensure that you are not charged sales tax on your stay.
If you are traveling on official business and staying at more than one hotel or motel, you must complete a separate exemption certificate for each location. Each person in a group traveling together must also fill out their own form and present it individually.
Hotel operators must keep the completed Form ST-129 as evidence of exempt occupancy. This certificate should be retained for at least three years after the last sales tax return applicable to the exemption is filed. It is essential for the operator to verify that the employee presenting the form has proper identification.
Misusing the New York Hotel Tax Exempt form can lead to severe penalties. If someone willfully issues this document with the intent to evade taxes, they may face criminal charges, which can result in substantial fines or even jail time. It is crucial to use the form correctly and only for its intended purpose.
Yes, government employees can pay for their hotel stay using various methods, including cash, personal checks, credit or debit cards, or government-issued vouchers or credit cards. Ensure that the payment method aligns with the exemption certificate to avoid any complications.
Completing the New York Hotel Tax Exempt form is essential for government employees who are traveling on official business. This process requires careful attention to detail to ensure compliance with state regulations. Follow these steps to accurately fill out the form.
Once the form is completed, present it to the hotel or motel operator upon check-in or checkout, along with proper identification. Ensure that you retain a copy for your records, as it may be required for future reference.
When filling out the New York Hotel Tax Exempt form, many individuals inadvertently make mistakes that can lead to complications. One common error is failing to provide complete information. Each section of the form, including the name of the hotel, dates of occupancy, and the governmental entity, must be filled out thoroughly. Missing any details can result in the form being rejected, which means taxes will need to be paid.
Another frequent mistake is not signing or dating the exemption certificate. The signature and date are crucial components that validate the document. Without them, the form lacks authenticity, and hotel operators may refuse to honor the tax exemption. It is essential for employees to ensure these fields are completed before submission.
Many individuals also overlook the importance of proper identification. When presenting the exemption certificate to the hotel operator, it is necessary to provide valid identification that confirms employment with the governmental entity. Failing to do so can lead to the denial of the tax exemption, resulting in unexpected charges.
Additionally, travelers sometimes mistakenly believe that one exemption certificate covers multiple hotel stays. Each hotel stay requires a separate exemption certificate. If an employee stays at different locations during their official business trip, they must complete a new form for each hotel. This misunderstanding can lead to confusion and financial implications.
Lastly, some individuals may present the exemption certificate after the 90-day deadline. This timeframe is critical, as the hotel operator must collect the certificate within 90 days of the last day of the first period of occupancy. If presented later, the burden of proof falls on the hotel operator to demonstrate that the occupancy was exempt. This can create unnecessary complications and potential penalties.
Here are some important points to keep in mind when filling out and using the New York Hotel Tax Exempt form:
Understanding these key points can help ensure a smooth experience when using the tax exemption form during your stay in New York.
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