Port Aransas Occupancy Tax Explained: What STR Owners Need to Know

Short-term rentals continue to grow across Port Aransas, and with more visitors each season comes a greater need for clear, consistent tax compliance. The occupancy tax is one of the main requirements for hosts, and misunderstandings can lead to penalties or notices from state or local offices.

Many owners also run into early challenges with setup, reporting rules, and platform policies. If you are adjusting your rental structure or getting started, the STR service option offered by the firm can bring clarity to your setup and help you stay compliant from the beginning.

This guide breaks down the state and local occupancy tax structure in simple, practical terms so Port Aransas hosts can file correctly and avoid common problems.

What the Occupancy Tax Is in Texas

Texas applies a hotel occupancy tax to any rental shorter than thirty days. This includes private homes, condos, and beach properties used as vacation rentals. If your property falls under this category, you are responsible for collecting this tax from guests when they book.

The tax applies to the entire rental price plus required fees. Cleaning fees and other mandatory charges count toward the taxable amount. Some booking platforms collect the tax automatically, but this does not remove the need to understand how the filings work.

Port Aransas Local Occupancy Tax

In addition to the state portion, the City of Port Aransas collects its own occupancy tax. Any rental within city limits must collect both parts from guests.

The local rate supports tourism programs and community needs, so the city monitors STR activity closely. Rates can differ from surrounding areas, which is why owners must confirm they are using the correct city rate.

The local tax is often referred to as the Port Aransas hotel tax or STR tax, and it applies to the same categories of rentals.

How Booking Platforms Handle the Tax

Many hosts assume that Airbnb, Vrbo or similar platforms collect and send every required tax. In reality, platforms vary in what they cover. Some collect the state amount, some collect both portions, and some collect none, depending on the location.

Even if a platform handles payment, the owner may still need to file regular reports. Filing is separate from collection, and missed reports can still trigger notices. If you want guidance on the setup side, the STR service option can help you make sure your account settings and reporting steps line up with local rules.

Registration Requirements for STR Owners

Owners in Port Aransas must complete two registrations before they can file properly.

State registration

The Texas Comptroller requires STR operators to register for a hotel occupancy tax account.

This account is used for monthly or quarterly filings.

City registration

Port Aransas requires a local account for reporting the city portion of the tax. This tracks rental activity and ensures funds are sent correctly.

Both registrations remain necessary even when you use booking platforms.

Filing and Payment Deadlines

Filings follow schedules assigned by the state and the city.

State filing schedule

The state may assign a monthly or quarterly filing. Monthly filings are often due around the twentieth of the next month.

City filing schedule

Port Aransas typically uses monthly reporting. If you had no guests during a given month, you still need to file a zero activity report. This is one of the most commonly forgotten steps. If you want a more structured way to plan ahead, take a look at the firm’s tax planning services, which help you stay organized and avoid surprises.

Late filings lead to penalties and interest from both offices.

Recordkeeping Tips for STR Owners

Accurate records make filing easier and reduce stress during audits. For each booking, track:

• Dates of stay

• Number of nights

• Rental price

• Cleaning fees and other required charges

• Tax collected

• Platform used

• Cancellations or refunds

Strong records also support long-term financial planning. If you want a strategy that helps you plan your tax year instead of reacting during filing season, the firm’s personalized tax strategies offer year-round support and projections.

Common Mistakes STR Owners Make

Short-term rental owners often make avoidable mistakes, such as:

• Believing platforms send every tax

• Registering with the state but not the city

• Missing zero activity filings

• Using old rates after an update

• Filing with one office but forgetting the other

If your rental operates as part of a business entity, or if you have activity in more than one area, the firm’s business tax preparation service can help you stay compliant with federal, state, and local rules.

How a Professional Tax Expert Supports STR Owners

Managing an STR involves guest communication, cleaning schedules, property upkeep, and pricing. Adding tax compliance to the mix can feel overwhelming. A CPA familiar with Port Aransas and Texas occupancy tax rules can review your setup, prepare your filings, handle account updates, and help prevent penalties.

This support also benefits owners who operate through LLCs, partnerships, or corporations. If you need broader compliance help across your business, the business tax services offered by the firm can keep your filings accurate across all areas of your operation.

Contact Farahani CPA for Port Aransas STR Tax Help

If you rent a property in Port Aransas and want accurate, organized support for occupancy tax reporting, contact Farahani CPA. The firm assists with setup, filings and ongoing guidance so you can focus on your rental without tax stress.

Reach out today to begin.