§20–432.    IN EFFECT

    (a)    Except as provided in subsections (b) and (c) of this section, a municipality may impose, by ordinance or resolution, a hotel rental tax.

    (b)    (1)    In this subsection, “hotel rental tax revenue sharing arrangement” includes:

            (i)    a requirement under §§ 20–415 through 20–422 of this subtitle that a county distribute revenue from a county hotel rental tax to a municipality; or

            (ii)    any other hotel rental tax revenue sharing requirement, agreement, or arrangement between a county and a municipality.

        (2)    A municipality in a county that has a hotel rental tax revenue sharing arrangement between the municipality and the county may not impose a hotel rental tax under this part.

    (c)    A municipality may not impose a hotel rental tax if     the municipality is located in a county that:

        (1)    distributes at least 50% of total county hotel rental tax revenues to promote tourism in the county; or

        (2)    does not impose a tax on a transient charge paid to a hotel.

§20–432.    ** TAKES EFFECT JULY 1, 2027 PER CHAPTER 638 OF 2025 **

    (a)    Except as provided in subsections (b), (c), and (d) of this section, a municipality may impose, by ordinance or resolution, a hotel rental tax.

    (b)    (1)    In this subsection, “hotel rental tax revenue sharing arrangement” includes:

            (i)    a requirement under §§ 20–415 through 20–422 of this subtitle that a county distribute revenue from a county hotel rental tax to a municipality; or

            (ii)    any other hotel rental tax revenue sharing requirement, agreement, or arrangement between a county and a municipality.

        (2)    A municipality in a county that has a hotel rental tax revenue sharing arrangement between the municipality and the county may not impose a hotel rental tax under this part.

    (c)    A municipality may not impose a hotel rental tax if the municipality is located in a county that:

        (1)    distributes at least 50% of total county hotel rental tax revenues to promote tourism in the county; or

        (2)    does not impose a tax on the taxable price paid to a hotel or an accommodations provider.

    (d)    A municipality may not:

        (1)    impose a tax on the rental of an accommodation, including a short–term rental, except as authorized under this section; or

        (2)    impose a higher tax rate on short–term rental units than on other accommodations.