A lodging tax increase

[JBloggs]

Edited to say: I have posted a copy of the news clip with DH being interviewed on our FB page. Not going with the flow is going to make people very unhappy here. But we do what we know is best. It is sad that the town "person" says heads in beds and makes it sound like they are using people in this town. Very impersonal, and very wrong. Nothing about "We want to provide visitors with an exceptional and memorable experience" ...

 

[Morticia]

We've been fighting, and compromising, on tax increases almost every year now. The state wants at least 10%. We're now at 9% from 7% a couple of years ago.
I don't think anyone has mentioned using that money to benefit tourism. It goes into the bottomless pit and gets used for whatever. But not tourism.
Do guests notice? Hard to say. If they are comparing and all other things are equal, they might just stay where the total bill is less. Did I check the tax rate before vacation? Nope. I was going and that was it.
Maybe your town sees $$$ from the music venue generating more overnight stays? But saying the money is paid out by 'generic tourists' is not exactly true. Around here a fair amount of tax revenue comes from locals having a special event and staying over at a hotel. Any gov official who says otherwise lies.
Same as saying increases in restaurant tax only impact tourists like no one local eats out ever.

 

[Generic]

Are they going to ensure that those on AirBnB and VBRO are paying, collecting and of course doing it legally? If not, then the answer is it's an unfair tax on those who are legal.
Second part is this... why should the tourists be paying a tax that will benefit the town's stores and restaurants. Shouldn't the store and restaurants instead be paying for this? How about a 5% tax on all restaurant meals. We want people to come here.... this is sending them to other towns instead.

 

[gillumhouse]

Shinnston has NO "bed tax". When the Legislature authorized it, there was no lodging facility in City Limits so why pay to have the Ordinance drawn up (they never thought of a B & B opening). They also never thought I would last, so they did not enact it when I opened. They were about to, at MY urging several years later when a neighboring city destroyed the COUNTY CVB. Then the County Seat city opened a CVB - little boys peeing contest. I told the Council to stop the Ordinance because who were we going to give half to? And the guests are NOT knocking down my doors to save 6%.
We have an identity and brand - but we got it through grants. There are grants for that sort of thing, just not for brick & mortar projects. We got a grant for Shop Local partnering with WVU - the students did the promotion work. During the good weather months our shopkeepers have Girls Night Out on a Thursday once a month.
Each shopkeeper has a nibble food or dessert or a wine tasting and is open until 9 that night. We are in the process of having a stage built on the open space that is eventually going to be our Community center. Council passed it Monday night - BECAUSE it is not going to cost the City anything. Business - including me (I already wrote the check for $100)- is coming up with the $2500 he needs for the materials ans "slave labor" will build it (that is how things get done here). The person behind this is our "sound guy" for events here. The plan is to have Wind Down Wednesdays with someone performing every Wednesday - garage bands, up & coming band on tour (he knows them), etc. Our Community Development Director gets donations/sponsorships from the gas companies, the banks (not all are FHLB), and County Commission, and companies big & small to pay for our summer programs at the Park - Improv, singers, Shakespeare. We also have an Arts & Crafts Festival, Arts Walk, Frontier Days (all downtown), Citywide Yard Sale, and of course, the Shinnston Community Band Independence Concert at the Park.
Tell your City Manager there are grants through the Federal Home Loan Banks (they MUST do community involvement), Main Street, internships with colleges and universities..... Counting the %^&*( cats someone keeps feeding, we have a population of about 2300 - and NO Harvester.

 

[JBloggs]

Are they going to ensure that those on AirBnB and VBRO are paying, collecting and of course doing it legally? If not, then the answer is it's an unfair tax on those who are legal.
Second part is this... why should the tourists be paying a tax that will benefit the town's stores and restaurants. Shouldn't the store and restaurants instead be paying for this? How about a 5% tax on all restaurant meals. We want people to come here.... this is sending them to other towns instead..

Are they going to ensure that those on AirBnB and VBRO are paying, collecting and of course doing it legally? If not, then the answer is it's an unfair tax on those who are legal.
Second part is this... why should the tourists be paying a tax that will benefit the town's stores and restaurants. Shouldn't the store and restaurants instead be paying for this? How about a 5% tax on all restaurant meals. We want people to come here.... this is sending them to other towns instead.

They already charge a meals tax here, so they are doing that now. and yes it is 5%, another form I have to fill out every month, and fight them telling them we don't sell food. I have been doing that for over 12 years now, and the town attorney has looked into it etc, and nothing has changed.
and btw this is just the transient tax I am mentioning, they are raising everything for us from garbage pick up to ...etc. So just sharing this portion here.

 

[Copperhead]

Hotel tax has been the way most city, counties have been going lately to take in extra revenue.
Easier for the GOV to get voters to approve as it is not coming from their pockets.
Most start out asking for the tax to use toward tourism then as time goes by they look for ways to expand the use - economic development has been used here.
Our local hotel tax is 3%, the big city near us is 5% or more.
Most callers do not ask about that, they ask for room rates. Since currently (changes may be on the way) I only have to collect the 3% I use this as a marketing tool for callers who are looking around. I tell them my rate plus tax at 3% and tell them to always ask for the total WITH taxes. Many ask why. In the town near me tax is just shy of 12%, in big city it is 16-17% based on the district.

 

[JBloggs]

What is the total tax % a guest pays who stays with you?

 

[GoodScout]

Guests do notice. Not initially. But if they book online, they get sticker shock when the $199 a night room bill for the whole weekend suddenly becomes $438 when they get ready to push the "book now" button.
With analytics we can track this, and we see lots of guests getting to this point in the booking process and then failing to pull the trigger.
Our association's position is now a firm, defensible one in the statehouse: Collect the room tax on EVERYONE that owes it before you come back to us and ask for more.

 

[Morticia]

What is the total tax % a guest pays who stays with you?.

What is the total tax % a guest pays who stays with you?

9%

 

[gillumhouse]

What is the total tax % a guest pays who stays with you?.

6% State sales tax. Out of City limits it is 12% - 6% sales tax and 6% bed tax.

 

[gillumhouse]

What is the total tax % a guest pays who stays with you?.

Sorry - must have hit twice. I am sick. Spent the last 2 days in bed and still feel like crap. Taxes in mail, Himself's meds picked up, sale eggs purchased - I am going back to bed. Guest arriving tomorrow.

 

[Arks]

What is the total tax % a guest pays who stays with you?.

What is the total tax % a guest pays who stays with you?

12.25%
6.5% state sales tax, 1.75% county sales tax, 2% city sales tax, and 2% state lodging tax.
Yes, a 5% jump is huge. We used to have a 2% city lodging and restaurant tax here, but they dropped that and replaced it by increasing the general city sales tax from 1% to 2%.
They misled people by saying they were dropping a 2% tax and replacing it with a 1% tax, so the people voted it in. But the new general sales tax increase raises 3 times as much money every year as the old lodging tax did. The voters wouldn't listen to those of us who tried to explain that change was COSTING them money. Not a lot of deep thinkers out there!

 

[2cat_lady]

We just had a provincial tax hike from 13 to 15% starting July 1st. Ouch. Our lovely HST.

 

[Jcam]

What is the total tax % a guest pays who stays with you?.

Sorry - must have hit twice. I am sick. Spent the last 2 days in bed and still feel like crap. Taxes in mail, Himself's meds picked up, sale eggs purchased - I am going back to bed. Guest arriving tomorrow.
.

feel better - its rubbish being sick!

 

[Lee2014]

What is the total tax % a guest pays who stays with you?.

13% total

 

[Silverspoon]

What is the total tax % a guest pays who stays with you?.

O%
Small is beautiful! 3 rooms so no room tax to be collected.

 

[OnTheShore]

What is the total tax % a guest pays who stays with you?.

9% -- it all goes to the state

 

[Silverspoon]

What is the total tax % a guest pays who stays with you?.

Sorry - must have hit twice. I am sick. Spent the last 2 days in bed and still feel like crap. Taxes in mail, Himself's meds picked up, sale eggs purchased - I am going back to bed. Guest arriving tomorrow.
.

I feel for you Gillum. We are days 6 and 7into it with fevers, chills and cough and just now feeling like we might be human. Take care.

 

[Morticia]

What is the total tax % a guest pays who stays with you?.

Sorry - must have hit twice. I am sick. Spent the last 2 days in bed and still feel like crap. Taxes in mail, Himself's meds picked up, sale eggs purchased - I am going back to bed. Guest arriving tomorrow.
.

I feel for you Gillum. We are days 6 and 7into it with fevers, chills and cough and just now feeling like we might be human. Take care.
.

I feel for you Gillum. We are days 6 and 7into it with fevers, chills and cough and just now feeling like we might be human. Take care.

Yikes! Feel better.

 

[Lee2014]

What is the total tax % a guest pays who stays with you?.

Sorry - must have hit twice. I am sick. Spent the last 2 days in bed and still feel like crap. Taxes in mail, Himself's meds picked up, sale eggs purchased - I am going back to bed. Guest arriving tomorrow.
.

I feel for you Gillum. We are days 6 and 7into it with fevers, chills and cough and just now feeling like we might be human. Take care.
.

Being sick is no fun! Hope you two are doing much better. Wipe down your computer, change sheets, get a new toothbrush, and get better soon!