What makes up the 17% Indianapolis hotel tax?

Two parts: Indiana's 7% state sales tax on lodging and Marion County's 10% innkeeper's (county lodging) tax. Combined, that is 17% on the room rate. Both are levied on the pre-tax nightly rate.

Is the innkeeper's tax the same everywhere in Indiana?

No. The 10% rate is specific to Marion County (Indianapolis). Other Indiana counties set their own innkeeper's tax, typically 5%–8%. This tool uses the Marion County rate of 10%.

Are resort or destination fees taxed?

Mandatory fees added to the room charge are generally subject to the same lodging tax. If your hotel charges a flat nightly fee, enter it in the fee field and it will be taxed along with the room rate.

Do taxes apply to incidentals like parking or dining?

Incidental charges are taxed under their own rules — for example restaurant meals carry food-and-beverage tax, not lodging tax. This calculator covers only the room (and any mandatory room fee).

Is my booking data stored?

No. The calculation is performed locally in your browser and nothing is sent to a server.

Indianapolis Hotel & Occupancy Tax Calculator

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The advertised room rate is rarely what you pay in Indianapolis. On top of the nightly rate, the city adds a combined 17% lodging tax — 7% Indiana state sales tax plus a 10% Marion County innkeeper’s tax. This free calculator shows your true total so there are no surprises at checkout.

How it works

The lodging tax is applied to the pre-tax room rate (plus any mandatory nightly fee):

taxable rate = nightly rate + nightly fee
state tax    = taxable rate × 7%
county tax   = taxable rate × 10%
per-night    = taxable rate + state tax + county tax
total        = per-night × nights × rooms

Both taxes stack on the same base — they are not compounded on each other, so the effective add-on is exactly 17% of the taxable rate.

Example

A $150 room for 3 nights, one room, no extra fees:

Taxable rate: $150
State tax (7%): $10.50
County tax (10%): $15.00
Per night: $175.50
Total for 3 nights: $526.50 (of which $76.50 is tax)

Notes

Indianapolis funds its convention centre and tourism infrastructure largely through this innkeeper’s tax, which is why it sits at the higher end for Indiana. Government and certain non-profit stays may qualify for exemption with proper documentation — those rates are not modelled here.