Commissioners approve increase to residential tax in Rehoboth Beach

The Rehoboth Commissioners approved an increase of the city's residential rental tax from three percent to six percent at their regular meeting November 17, 2017. The new tax rate will apply to any rental contracts signed after January 1, 2018. The Commissioners felt this would be fair to renters that have already signed contracts under the old three percent rate. Every residential property owner will receive in the coming weeks a notification about the residential rental tax for the period of January 1, 2017, through December 31, 2017, at the three percent rate. The next billing cycle of January 1, 2018, through December 31, 2018, will be at the six percent rate. Any contracts signed before January 1, 2018, will be calculated at the three percent rate. The rental tax had not increased since 1995 when that rate was set at three percent. The additional revenue from the tax increase will be used for infrastructure improvements including storm drains. For questions, please contact the Billing Department at 302-227-6181 ext. 110.