The Complete Oklahoma Airbnb Host Lodging Tax Guide: Airbnb Oklahoma Occupancy Tax Breakdown

Navigating Oklahoma's lodging and occupancy tax landscape is a crucial step for success in the short-term rental market. Understanding your tax obligations not only keeps you legally compliant but also helps you properly budget for your Airbnb business. This guide breaks down the tax requirements for Airbnb hosts across Oklahoma, providing city-specific information to ensure you're collecting and remitting the correct amounts.

Oklahoma State-Wide Tax Requirements

All short-term rental operators in Oklahoma must collect and remit the state sales tax of 4.5% on rental income. Oklahoma is unique as the only state in the nation where cities depend almost entirely on sales tax for general operations, making tax compliance especially important to local communities. Airbnb does collect and remit certain taxes on behalf of hosts in some Oklahoma locations, but hosts remain responsible for ensuring all tax obligations are met.

Make sure to contact your local authorities to find out how to properly collect and remit these taxes.

Tulsa

The City of Tulsa imposes a lodging tax of 5% on all short-term accommodations. This tax applies to stays of less than 30 consecutive days and is primarily used to promote tourism and fund convention facilities within the city. The property owner/operator must collect this tax from guests and remit it to the City of Tulsa.

Example Tulsa Tax Calculation: For a 3-night Airbnb stay with a base rate of $150 per night

• Base rental amount: ($150 x 3) = $450
• Cleaning fee: $75
• Total rental amount: ($450 + $75) = $525
• State Sales Tax (4.5%): $23.625
• Tulsa Lodging Tax (5%): $26.25
• Total taxes: ($23.625 + $26.25) = $49.875
• Total charged to guest: $574.875

Oklahoma City

Short-term rentals in Oklahoma City are taxed at 5.5% hotel tax on the listing price for the first 29 nights of a stay. Airbnb collects and remits this tax on behalf of hosts, streamlining the tax compliance process. Additionally, hosts must obtain a Hotel/Motel License at an annual cost of $24 for each rental unit.

Example Oklahoma Tax Calculation: For a 2-night Airbnb stay with a base rate of $200 per night

• Base rental amount: ($200 x 2) = $400
• Cleaning fee: $50
• Total rental amount: ($400 + $50) = $450
• State Sales Tax (4.5%): $20.25
• Oklahoma City Hotel Tax (5.5%): $24.75
• Total taxes: ($20.25 + $24.75) = $45
• Total charged to guest: $495

Norman

Norman requires short-term rental owners to pay an 8% hotel/motel/transient guest tax by the 15th of each month. In May 2023, Norman voters approved an increase in this tax from 5% to 8%, with revenue directed toward promoting sports tourism, improving parks, public art, and cultural festivals. Additionally, the total sales tax rate in Norman is 8.76% (combining 4.5% state, 4.13% city, and 0.13% county rates).

Example Norman Tax Calculation: For a 6-night Airbnb stay with a base rate of $150 per night

• Base rental amount: ($150 x 6) = $900
• Total cleaning fee: $175
• Total rental amount: ($900 + $175) = $1075
• State Sales Tax (4.5%): $48.375
• City/County Sales Tax (4.26%): $45.795
• Norman Lodging Tax (8%): $86
• Total taxes: ($48.375 + $45.795 + $86) = $180.17
• Total charged to guest: $1255.17

Lawton

The City of Lawton imposes a 7% Hotel/Transient Guest Tax on short-term rental properties, defined as rentals of residential units for periods under 30 days. As of November 1, 2023, short-term rental property owners are required to register with the City of Lawton Building Division and pay a registration fee of $57.50 that must be renewed annually. The city has begun actively enforcing this requirement, with penalties including utility shutoff for non-compliant properties.

Example Lawton Tax Calculation: For a 3-night Airbnb stay with a base rate of $175 per night

• Base rental amount: ($175 x 3) = $525
• Total cleaning fee: $90
• Total rental amount: ($90 + $525) = $615
• State Sales Tax (4.5%): $27.675
• Lawton Hotel/Transient Guest Tax (7%): $43.05
• Total taxes: ($27.675 + $43.05) = $70.725
• Total charged to guest: $685.725

Wrapping Things Up

Tackling Oklahoma's short-term rental taxes isn't as scary as it seems. While everyone pays the state's 4.5% sales tax, local requirements vary wildly. Tulsa charges an extra 5% lodging tax, while Norman hits you with 8%.

We've found that setting up a simple tracking system from day one saves massive headaches later. Your diligence does more than just avoid penalties; these taxes fund the local attractions that draw guests to your property in the first place.