Brockville to consider stronger enforcement measures for Municipal Accommodation Tax program

The City of Brockville is considering strengthening oversight of its Municipal Accommodation Tax (MAT) program through a proposed new bylaw that would introduce enhanced enforcement measures for accommodation providers operating within the city.

The Brockville General Committee will consider a staff report and recommendation at its Tuesday, June 16, 2026 meeting to repeal and replace the city’s existing MAT bylaw, originally adopted in 2018, with an updated version that includes stronger compliance and enforcement provisions.

The review comes at an apt time as municipalities across Ontario continue to update their accommodation tax programs to account for the growth of short-term rental platforms such as Airbnb and VRBO.

The MAT was first introduced in Brockville in 2018 and has since become an key source of funding for tourism-related initiatives. In 2024, the amount charged was increased from 4 to 6 per cent, and other changes exempted traditional bed and breakfast establishments, according to a report prepared by Tourism Advisor Kelly Brintnell.

Between 2018 and 2025, the city reportedly collected $3.1 million in MAT generated from overnight stays.

The revenue generated is typically used to support tourism promotion, visitor services and initiatives designed to attract visitors to the community. The tax is collected on overnight stays at hotels, motels, bed and breakfasts and certain short-term rental accommodations in Brockville.

However, city officials say ensuring all accommodation providers participate fairly in the program helps maintain a level playing field within the hospitality industry while generating revenue that supports local economic development.

According to the report’s recommendation, the proposed bylaw would modernize the city’s approach to administering the tax while providing additional tools to ensure operators are collecting and remitting the required payments accurately.

Brintnell’s says enhanced enforcement measures commonly include requirements for operators to maintain records, submit regular reporting, permit audits or inspections, and face penalties for failing to comply with municipal regulations.

The existing bylaw includes the following provisions:

• All providers shall include on every invoice or receipt for the purchase of
  accommodation a separate item for the amount of the municipal
  accommodation tax imposed on the purchase…
• All providers shall collect the MAT from the purchaser at the time the
  accommodation is purchased.
• All providers shall, on or before the last day of every month, remit to the
  City for the amount of the MAT collected for the previous month and
  submit statements in the form required by the City detailing the number
  of accommodation sold, the purchase price of each accommodation, the
  MAT amount collected and any other information as required by the City…
• All providers whose gross sales are less than $65,000 per year shall,
  remit the MAT collected and statements on a quarterly basis…

Based on a recommendation from Cunningham, Swan, Carty, Little & Bonham LLP, the insertion of stronger enforcement provisions will “ensure fairness for all and the ability to collect the tax.”

The new consolidated bylaw includes updated provisions under the heading “Municipal Assessment Where Failure to Remit,” including specific measures for providers who have filed statements but failed to pay all or part of the MAT owing to the City, among other circumstances the city and providers may face.

Another updated measure in the bylaw includes that all MAT, including MAT assessed by the Treasurer as well as any penalties and interest that are past due shall “be deemed by the City’s Treasurer to be in arrears, and shall be transferred to the tax collectors’ roll of the City to be collected in the same manner as municipal property taxes and shall constitute a lien upon the lands.”

If approved, the revised bylaw would replace the current legislation and establish the framework for how the city monitors and enforces accommodation tax collection moving forward.