A new tax will target short-term stays in Bracebridge.
Yesterday the Bracebridge general committee unanimously approved a 4% Municipal Accommodation Tax (MAT).
The By-law specifies that the MAT applies to accommodations rented for 28 days or less. Exemptions are made for unique non-tourist accommodations, such as those provided by non-profit organizations for homeless shelters, provincially funded treatment centers, and lodging associated with offender rehabilitation.
Most municipalities that have adopted the MAT have set the rate at 4%, including Huntsville, Gravenhurst, and Orillia. Staff have recommended an effective date of October 1, 2025, for the MAT By-law.
Councillor Don Smith emphasised the significance of the expected financial contribution from the MAT, which is projected to fund various initiatives. Based on data from similar areas like Gravenhurst, staff estimate that Bracebridge could generate approximately $530,000 in revenue from the new tax.
The committee also agreed to the establishment of a Municipal Service Corporation to manage and allocate 50% of the revenue generated from the Municipal Accommodation Tax. At least 50% of the net revenue is directed to a destination marketing organization with a mandate to promote tourism and marketing within the municipal boundaries.
The Province of Ontario first authorized single- and lower-tier municipalities to implement a MAT on December 1, 2017. Since that time, a number of municipalities across Ontario have adopted the MAT. According to the Province’s Financial Information Return (FIR) database, 49 municipalities reported MAT revenues in 2023, including nearby towns such as Huntsville and Gravenhurst, along with the cities of Orillia and Barrie.
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@Tim You do know Muskoka is a Conservative region, don’t you? Or are you just such a sheep you’ll blame everything and anything on Liberals?
Correction. I re-read the article and it does say district assisted people would be exempt from the tax.
Huntsville is using MAT tax to attract Doctors. Bracebridge could do the same . Also, is the MAT tax going to be applied to people living in motels/hotels that are being helped by the district housing commission? If it is then that means tax payers are paying tax on tax. Maybe the town could use the tax to build affordable housing.
Thanks so much! This is a real incentive for tourists isn’t it. You people have no brains in your heads, all you’re thinking about is your empty pockets. Just keep taking, just keep taking, I guess that’s the liberal government for you and all you people that are fooled, you’re all nothing but sheep.
Another cash grab to pay for the $100 million Arena, done with borrowed money and way over budget.
The Mayor Of Bracebridge wants to have those strong mayor powers, unlike many other municipalities. Are we living in a dictatorship in Bracebridge? When was Mayor Maloney appointed King? He now has those powers. Will he just go ahead and ignore council? Are Councillor‘s too weak or compromised that they won’t stand up to his one man rule?