Ark. Code Ann. § 26-63-402 (2026)

In addition to the gross receipts tax levied by the Arkansas Gross Receipts Act of 1941, § 26-52-101 et seq., and the compensating use tax levied by the Arkansas Compensating Tax Act of 1949, § 26-53-101 et seq., there is levied a tourism tax at the rate of two percent (2%) on the gross proceeds or gross receipts derived from the following:

1. 1. The service of furnishing a:
      1. Condominium, townhouse, or rental house to a transient guest; and
      2. Guest room, suite, or other accommodation by a hotel, motel, lodging house, tourist camp, tourist court, property management company, an accommodations intermediary, or any other provider of an accommodation to a transient guest.
   2. As used in this subdivision (1):
      1. “Accommodations intermediary” means a person other than the owner, operator, or manager of a room, suite, condominium, townhouse, rental house, or other accommodation;
      2. “Furnishing” means brokering, coordinating, making available for, or otherwise arranging for the sale or use of a room, suite, condominium, townhouse, rental house, or other accommodation by a purchaser; and
      3. “Transient guest” means a person that rents an accommodation, other than the person's regular place of abode, on less than a month-to-month basis;
2. A camping fee at a public or privately owned campground, except at a federal campground;
3. The following items offered for rent by a boat dock, marina, canoe or raft rental business, or other business engaged in the rental of watercraft:
   1. Watercraft;
   2. Boat motor and related boat motor equipment;
   3. Life jacket or cushion;
   4. Water skis; or
   5. Oar or paddle; and
4. The admission price to a tourist attraction.

History. Acts 2007, No. 182, § 1; 2019, No. 822, § 25.

A.C.R.C. Notes. Acts 2019, No. 822, § 1, provided: “Legislative findings and intent.

“(a) The General Assembly finds that:

“(1) The Arkansas Tax Reform and Relief Legislative Task Force was charged with:

“(A) Examining and identifying areas of potential tax reform within the tax laws; and

“(B) Recommending legislation to the General Assembly to:

“(i) Modernize and simplify the Arkansas tax code;

“(ii) Make Arkansas's tax laws competitive with tax laws in other states;

“(iii) Create jobs; and

“(iv) Ensure fairness to all taxpayers;

“(2) The state's income tax laws should be amended to modernize and simplify the tax code, increase Arkansas's competitiveness, create jobs, and ensure fairness to all taxpayers;

“(3) The inability to effectively collect any Arkansas sales or use tax from remote sellers who deliver tangible personal property, other property subject to Arkansas sales and use tax, or services directly into the state is seriously eroding the sales and use tax base of this state, causing revenue losses and imminent harm to the state through the loss of critical funding for state and local services;

“(4) The harm from the loss of revenue is especially serious in Arkansas because sales and use tax revenue is essential in funding state and local services;

“(5) Despite the fact that a use tax is owed on tangible personal property, certain other property, or services delivered for use in this state, many remote sellers actively market sales as tax-free or as transactions not subject to sales and use tax;

“(6) The structural advantages of remote sellers, including the absence of point-of-sale tax collection and the general growth of online retail, make clear that further erosion of this state's sales and use tax base is likely to occur in the near future;

“(7) Remote sellers that make a substantial number of deliveries into Arkansas or collect large gross revenues from Arkansas benefit extensively from this state's market, economy, and infrastructure;

“(8) In contrast with the increasing harm caused to the state by the exemption of remote sellers from sales and use tax collection duties, the costs of such collection have decreased because advanced computing and software options have made it neither difficult nor burdensome for remote sellers to collect and remit sales and use taxes associated with sales of goods and services to residents of this state;

“(9) The United States Supreme Court recently upheld the ability of states to compel out-of-state sellers with no physical presence in the state to collect state sales and use taxes; and

“(10) Any savings realized by the state through tax reforms should be dedicated to reducing the tax burden for Arkansas taxpayers.

“(b) It is the intent of the General Assembly to:

“(1) Reform Arkansas tax laws to modernize and simplify the tax code, increase the state's competitiveness, create jobs, and ensure fairness to all taxpayers;

“(2) Offset any revenue savings realized through tax reform with corresponding changes to reduce the tax burden for Arkansas taxpayers;

“(3) Gradually reduce the tax burden on Arkansas taxpayers in a fiscally responsible manner; and

“(4) Act on the recommendation of the Arkansas Tax Reform and Relief Legislative Task Force to repeal the throwback rule for business income when the state's budget would allow for that change to be enacted in a fiscally responsible manner.”

Amendments. The 2019 amendment inserted “an accommodations intermediary” in (1)(A); subdivided part of (1)(B) as (1)(B)(iii); and added (1)(B)(i) and (ii).