Lodging Tax Information

Annually, each owner will be required to fill out and submit this Short-Term Rental Tax Collection Acknowledgment form. Additionally, the Lodging Tax remittance online form and payment information should be completed for each monthly remittance. 

Keystone voters approved a 2% lodging tax on short-term rentals (stays under 30 consecutive days), effective January 1, 2025. This tax replaces the 2% Summit County lodging tax that ended June 30, 2024.

Property owners, marketplace facilitators, property management companies, and businesses that provide short-term rentals (less than 30 consecutive days) are responsible, per your agreement with them for collecting the lodging tax from their guests and remitting it to the Town of Keystone.

Even if you have no rentals in a given filing period, you are still required to file a lodging tax return indicating zero rental activity. This ensures your account remains in good standing with the Town of Keystone. If you manage your short-term rental independently—without using a marketplace facilitator like Airbnb or VRBO, or a property manager who collects and submits taxes on your behalf—you are required to collect the 2% lodging tax from your guests and submit it to the Town of Keystone. You are also responsible for collecting and remitting 6.375% to the State of Colorado.

Beginning with the second quarter of 2025, the Town’s lodging tax filing frequency will align with your Colorado Department of Revenue (CDOR) filing schedule—monthly, quarterly, or annually, as determined by CDOR. This change was adopted through Town Ordinance 2024-O-14 to simplify and streamline compliance. If you file periodically with CDOR, please contact hfawkes@keystoneco.gov to ensure we have your filing frequency correctly aligned.

Even if you have no rentals in a given filing period, you are still required to file a lodging tax return indicating zero rental activity. This ensures your account remains in good standing with the Town of Keystone.

Lodging tax payments and returns are due by the 20th of the month following the end of your CDOR reporting period.
Late payments are subject to a penalty of 10% of the tax due or $10, whichever is greater, plus 1.5% interest per month on the unpaid balance.
 

Keystone's total tax rate for all lodging stays is 8.35%, which remains lower than most other Summit County towns, where rates range from 12.28% to 19.875%.

The lodging tax applies only to short-term rentals (less than 30 consecutive days). Long-term rentals and personal use are exempt from this tax.

Ordinance 2024 -O-14 – Implementing Voter Approved 2% Lodging Tax.

Yes! We are currently working with a vendor to implement a new and improved lodging tax filing system. The goal is to streamline the process. Stay tuned—more information will be shared as we get closer to the launch.

For additional information or assistance, contact the Town of Keystone at str@keystoneco.gov or by phone at 970-450-3500, STR Licensing extension 1 and Tax questions extension 3.

The Town of Keystone has the authority to audit property owners and managers to ensure proper collection and remittance of the lodging tax. Routine audits are possible. Maintaining accurate records of your rental income, tax collection, and payments will help ensure compliance and simplify the process if an audit occurs.

The funds are only to be used for capital infrastructure projects, Highway 6 safety, maintenance (such as improvements to streets and trails), and public safety.

Summit County is a statutory county, meaning the Colorado Department of Revenue (DOR) administers and collects its taxes. In contrast, the Town of Keystone is a home rule municipality, which requires us to administer our own taxes independently. As a result, the 2% tax for Keystone must now be remitted directly to the Town of Keystone rather than to the DOR.

The Colorado Department of Revenue (CDOR) will check out any lodging tax collections that have been collected in error with the proper proof.  You can email hfawkes@keystoneco.gov to submit to the CDOR.  

We have been in contact with both VRBO and Airbnb and have sent them both our jurisdiction map file. They both acknowledged they have received this data and are updating their databases with the correct jurisdiction information. If by the middle of February, you still see your property in the incorrect jurisdiction please contact str@keystoneco.gov. 

Yes. The ordinance specifies that the lodging tax applies to all stays occurring on or after January 1, 2025, regardless of when the booking was made.

On March 11, 2025, the Town Council approved an update to the ordinance regarding lodging tax remittance. This amendment aligns lodging tax submissions with each vendor’s Colorado Department of Revenue (CDOR) filing requirements, creating a more streamlined and consistent process with the State of Colorado. This change will make it easier for vendors to manage their filings in coordination with CDOR.

The ordinance will take effect on April 14, 2025. Short-Term Rental owners/vendors who file quarterly with CDOR will be contacted by the Town Finance Director with further details before implementation. However, those who are required to remit monthly with CDOR must continue to submit Keystone lodging tax on a monthly basis.

If you have any questions, please reach out to Heike Fawkes hfawkes@keystoneco.gov or 970-450-3500 x 3. 

https://tax.colorado.gov/sales-use-tax-topics-rooms-accommodations

https://tax.colorado.gov/how-to-apply-for-a-colorado-sales-tax-license