Non-Compliance with Massachusetts Room Occupancy Excise Registration and Filing

$1,000 to $6,000 annually (10-20 international bookings/year × $250/night × 5.7%-9.2% tax; if 30% of conversions miscalculated, $800 to $3,500 bleed + 10% penalty = $880 to $3,850). • $1,000 to $8,000 annually (20-30 bundled bookings/year × $400 bundled price × 5.7%-9.2% tax on room portion; if 50% of bundled price is services (non-taxable), but owner mistakenly taxes all, then audit correction requires refunds or penalties on wrong calculations = $1,000 to $8,000 exposure). • $1,000 to $8,000 annually (5-10 corporate activity packages/year × $2,000 package value × 5.7%-9.2% tax; if 30% of invoices require correction/resubmission due to missing itemization, causing payment delays, = $300 to $2,400 cash flow impact + $200-500/correction in owner labor = $1,000 to $8,000 annual exposure including labor).

Bookkeeper issues lump-sum invoices, no tax line item; tracks in general ledger without excise tax category • Bookkeeper issues single invoice for event block, no per-room-per-night itemization; doesn't calculate tax per MGL c. 64G rules • Bookkeeper uses personal email inbox, manual reconciliation, post-hoc Excel categorization; no real-time tax liability tracking