IL SB3068

Amends the Hotel Operators' Occupation Tax Act to define "hotel marketplace" and "hotel marketplace facilitator" as platforms that list hotel rooms and collect payments on behalf of third-party hotel operators.

Hotel marketplace facilitators with $100,000 or more in cumulative gross rental receipts from Illinois hotel rooms in the preceding 12 months are treated as hotel operators for tax purposes.

Qualifying marketplace facilitators must remit both state hotel operators' occupation taxes and any local hotel operators' occupation taxes administered by the Department of Revenue on all facilitated rentals.

Marketplace facilitators are entitled to credits, deductions, and discounts normally available to hotel operators, and must report taxes on facilitated rentals separately from their own direct rentals.

Effective July 1, 2026, replacing the current re-renter provisions that have been in effect since July 1, 2024.