Hotel Occupancy Tax Program

Hotel Occupancy Tax Program Information

The City of Denton's Hotel Occupancy Tax (HOT) Program uses hotel receipts to actively promote Denton as a tourist destination. Annually, local organizations apply to the City for a portion of the hotel receipts to use in promoting their event or location to tourists outside of Denton. Eligibility for the program includes:

  • Promotion of tourism and the hotel and convention industry
  • Being based in the Denton
  • Being a government entity or non-profit Texas corporation or federally tax-exempt under the Internal Revenue Code
  • Demonstrating corporate good standings with the state of Texas
  • Proving continuous and stable programming
  • Having an active governing body
  • Non-discriminatory practices
  • And if previously funded, successfully fulfilled all prior contractual obligations

Annually, the HOT guidelines and applications are approved by a sub-committee of the City Council. In June, along with the City's budget process, applications are reviewed by the sub-committee and recommended funding levels are provided to Council for approval. The funds being applied for at this time are allocated quarterly to the program recipients during the following calendar year.

View the 2023 Hotel Occupancy Tax Guidelines (PDF).

2023 Hotel Occupancy Tax Program Application

Annual Report

View the HOT Program Annual Reports Archive.

Hotel Occupancy Collections

The City of Denton imposes a 7% hotel occupancy tax per Chapter 10 Finance and Taxation of its municipal code. This occupancy tax is calculated against the cost of a room in a hotel only if the room is ordinarily used for sleeping and does not include the cost of any food served or personal services rendered to the occupant. Reporting and payment of the 7% occupancy tax is made by the hotelier directly to the City of Denton using the required Hotel Occupancy Tax Reporting Form (PDF). Each calendar month is a reporting period and taxes collected are due and payable on or before the 20th day of the month following the end of each calendar month.

New lodging properties must contact the city's Finance Department before collecting and paying the imposed 7% occupancy tax.

For More HOT Information

For Hotel Occupancy Tax information, contact Finance at 940-349-7273.