HB 659 - Hotels and motels; excise tax; authorize increase
Georgia House of Representatives - 1995/1996 Sessions
HB 659 - Hotels and motels; excise tax; authorize increase
Page Numbers - 1/ 2/ 3/ 4/ 5
1. Hembree 98th 2. Snelling 99th
House Comm: W&M / Senate Comm: /
House Vote: Yeas Nays Senate Vote: Yeas Nays
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House Action Senate
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2/9/95 Read 1st Time
2/10/95 Read 2nd Time
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Code Sections amended:
HB 659 LC 18 6786
A BILL TO BE ENTITLED
AN ACT
1- 1 To amend Article 3 of Chapter 13 of Title 48 of the Official
1- 2 Code of Georgia Annotated, relating to county and municipal
1- 3 excise tax levies on charges to the public for rooms,
1- 4 lodgings, and accommodations, so as to provide authorization
1- 5 with certain conditions for certain counties and
1- 6 municipalities to levy such tax; to provide for requirements
1- 7 and limitations with respect thereto; to provide for related
1- 8 matters; to provide an effective date; to repeal conflicting
1- 9 laws; and for other purposes.
1-10 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION 1.
1-11 Article 3 of Chapter 13 of Title 48 of the Official Code of
1-12 Georgia Annotated, relating to county and municipal excise
1-13 tax levies on charges to the public for rooms, lodgings, and
1-14 accommodations, is amended by striking paragraphs (1) and
1-15 (2) of subsection (a) of Code Section 48-13-51, relating to
1-16 the levy and collection of certain excise taxes, and
1-17 inserting in their places new paragraphs (1) and (2) to read
1-18 as follows:
1-19 "(a)(1) The governing authority of each municipality in
1-20 this state may levy and collect an excise tax upon the
1-21 furnishing for value to the public of any room or rooms,
1-22 lodgings, or accommodations furnished by any person or
1-23 legal entity licensed by, or required to pay business or
1-24 occupation taxes to, the municipality for operating a
1-25 hotel, motel, inn, lodge, tourist camp, tourist cabin,
1-26 or any other place in which rooms, lodgings, or
1-27 accommodations are regularly furnished for value.
1-28 Within the territorial limits of the special district
1-29 located within the county, each county in this state may
1-30 levy and collect an excise tax upon the furnishing for
1-31 value to the public of any room or rooms, lodgings, or
1-32 accommodations furnished by any person or legal entity
1-33 licensed by, or required to pay business or occupation
1-34 taxes to, the county for operating within the special
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LC 18 6786
2- 1 district a hotel, motel, inn, lodge, tourist camp,
2- 2 tourist cabin, or any other place in which rooms,
2- 3 lodgings, or accommodations are regularly furnished for
2- 4 value. No tax shall be levied as provided in this Code
2- 5 section upon the fees or charges for any rooms,
2- 6 lodgings, or accommodations furnished for a period of
2- 7 more than ten consecutive days or for use as meeting
2- 8 rooms. No tax shall be levied as provided in this Code
2- 9 section upon the fees or charges for any rooms,
2-10 lodgings, or accommodations furnished for a period of
2-11 one or more days for use by Georgia state or local
2-12 government officials or employees when traveling on
2-13 official business. Except as provided in paragraphs
2-14 (3), (3.1), (4), (4.1), (4.2), (5), and (5.1) of this
2-15 subsection, no tax levied pursuant to this Code section
2-16 shall be levied or collected at a rate exceeding 3
2-17 percent of the charge to the public for the furnishings.
2-18 (2) A county or municipality levying a tax as provided
2-19 in paragraph (1) of this subsection shall in each fiscal
2-20 year beginning on or after July 1, 1987, expend for the
2-21 purpose of promoting tourism, conventions, and trade
2-22 shows a percentage of the total taxes collected under
2-23 this Code section which is not less than the percentage
2-24 of such tax collections expended for such purposes
2-25 during the immediately preceding fiscal year. In
2-26 addition, if during such immediately preceding fiscal
2-27 year any portion of such tax receipts was expended for
2-28 such purposes through a grant to or a contract or
2-29 contracts with the state, a department of state
2-30 government, a state authority, or a private sector
2-31 nonprofit organization, then in each fiscal year
2-32 beginning on or after July 1, 1987, at least the same
2-33 percentage shall be expended through a contract or
2-34 contracts with one or more such entities for the purpose
2-35 of promoting tourism, conventions, and trade shows. The
2-36 expenditure requirements of this paragraph shall cease
2-37 to apply to a county or municipality which levies a tax
2-38 at a rate in excess of 3 percent, as authorized under
2-39 paragraphs (3), (3.1), (4), (4.1), (4.2), (5), and (5.1)
2-40 of this subsection; and in such case the expenditure
2-41 requirements of such paragraph of this subsection
2-42 pursuant to which such tax is levied shall apply
2-43 instead."
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LC 18 6786
SECTION 2.
3- 1 Said article is further amended by adding a new paragraph
3- 2 immediately following paragraph (4.1) of subsection (a) of
3- 3 Code Section 48-13-51, relating to the levy and collection
3- 4 of certain excise taxes, to be designated paragraph (4.2),
3- 5 to read as follows:
3- 6 "(4.2) Notwithstanding the provisions of paragraph (1)
3- 7 of this subsection, a county (within the territorial
3- 8 limits of the special district located within the
3- 9 county) or municipality may levy a tax under this Code
3-10 section at a rate of 7 percent. A county or
3-11 municipality levying a tax pursuant to this paragraph
3-12 shall expend (in each fiscal year during which the tax
3-13 is collected under this paragraph (4.2)) an amount equal
3-14 to the amount by which the total taxes collected under
3-15 this Code section exceed the taxes which would be
3-16 collected at a rate of 3 percent for the purpose of:
3-17 (A) promoting tourism, economic development,
3-18 conventions, and trade shows; (B) supporting a facility
3-19 owned or operated by a state authority for convention
3-20 and trade show purposes or any other similar or related
3-21 purposes; (C) supporting a facility owned or operated by
3-22 a local government or local authority for convention and
3-23 trade show purposes or any other similar or related
3-24 purposes, if a written agreement to provide such support
3-25 was in effect on January 1, 1987, and if such facility
3-26 is substantially completed and in operation prior to
3-27 July 1, 1987; (D) supporting a facility owned or
3-28 operated by a local government or local authority for
3-29 convention and trade show purposes or any other similar
3-30 or related purposes if construction of such facility is
3-31 funded or was funded prior to July 1, 1990, in whole or
3-32 in part by a grant of state funds or is funded on or
3-33 after July 1, 1990, in whole or substantially by an
3-34 appropriation of state funds; or (E) for some
3-35 combination of such purposes. Amounts so expended shall
3-36 be expended only through a contract or contracts with
3-37 the state, a department of state government, a state
3-38 authority, a convention and visitors bureau authority
3-39 created by local Act of the General Assembly for a
3-40 municipality, a local industry, trade, and tourism
3-41 organization, or a private sector nonprofit
3-42 organization, or through a contract or contracts with
3-43 some combination of such entities, except that amounts
3-44 expended for purposes (C) and (D) may be so expended in
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LC 18 6786
4- 1 any otherwise lawful manner. Notwithstanding the
4- 2 provisions of subparagraph (B) of paragraph (8) of this
4- 3 subsection to the contrary, for purposes of this Code
4- 4 section, 'state authority' shall include a local
4- 5 authority created directly by a local Act or created
4- 6 pursuant to Chapter 62 of Title 36."
SECTION 3.
4- 7 Said article is further amended by striking paragraph (6) of
4- 8 subsection (a) of Code Section 48-13-51, relating to the
4- 9 levy and collection of certain excise taxes, and inserting
4-10 in its place a new paragraph (6) to read as follows:
4-11 "(6) At no time shall a county or municipality levy a
4-12 tax under more than one paragraph of this subsection.
4-13 Following the termination of a tax under paragraph
4-14 (3.1), (4.1), (4.2), (5), or (5.1) of this subsection,
4-15 any county or municipality which has levied a tax
4-16 pursuant to paragraph (3.1), (4.1), (4.2), (5), or (5.1)
4-17 of this subsection shall be authorized to levy a tax in
4-18 the manner and at the rate authorized by either
4-19 paragraph (1), paragraph (3), or paragraph (4) of this
4-20 subsection but shall not thereafter be authorized to
4-21 again levy a tax under paragraph (3.1), (4.1), (4.2),
4-22 (5), or (5.1) of this subsection."
SECTION 4.
4-23 Said article is further amended by striking paragraphs (9)
4-24 and (10) of subsection (a) of Code Section 48-13-51,
4-25 relating to the levy and collection of certain excise taxes,
4-26 and inserting in their places new paragraphs (9) and (10) to
4-27 read as follows:
4-28 "(9)(A) A county or municipality imposing a tax under
4-29 paragraph (1), (2), (3), (3.1), (4), (4.1), (4.2),
4-30 (5), or (5.1) of this subsection shall prior to the
4-31 imposition of the tax (if the tax is imposed on or
4-32 after July 1, 1990) and prior to each fiscal year
4-33 thereafter in which the tax is imposed adopt a budget
4-34 plan specifying how the expenditure requirements of
4-35 this Code section will be met. Prior to the adoption
4-36 of such budget plan, the county or municipality shall
4-37 obtain from the authorized entity with which it
4-38 proposes to contract to meet the expenditure
4-39 requirements of this Code section a budget for
4-40 expenditures to be made by such organization; and such
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LC 18 6786
5- 1 budget shall be made a part of the county or municipal
5- 2 budget plan.
5- 3 (B) The determination as to whether a county or
5- 4 municipality has complied with the expenditure
5- 5 requirements of paragraph (2), (3), (3.1), (4), (4.1),
5- 6 (4.2), (5), or (5.1) of this subsection shall be made
5- 7 for each fiscal year beginning on or after July 1,
5- 8 1987, as of the end of each fiscal year, shall be
5- 9 prominently reflected in the audit required under Code
5-10 Section 36-81-7, and shall be determined by: (A) (i)
5-11 calculating the amount of funds expended or
5-12 contractually committed for expenditure as provided in
5-13 paragraph (2), (3), (3.1), (4), (4.1), (4.2), (5), or
5-14 (5.1) of this subsection, whichever is applicable,
5-15 during the fiscal year; and (B) (ii) expressing such
5-16 amount as a percentage of tax receipts under this Code
5-17 section during such fiscal year. A county or
5-18 municipality contractually expending funds to meet the
5-19 expenditure requirements of paragraph (2), (3), (3.1),
5-20 (4), (4.1), (4.2), (5), or (5.1) of this subsection
5-21 shall require the contracting party to provide audit
5-22 verification that the contracting party makes use of
5-23 such funds in conformity with the requirements of this
5-24 subsection.
5-25 (10) Nothing in this article shall be construed to limit
5-26 the power of a county or municipality to expend more
5-27 than the required amounts, or all, of the total taxes
5-28 collected under this Code section for the purposes
5-29 described in paragraph (2), (3), (3.1), (4), (4.1),
5-30 (4.2), (5), or (5.1) of this subsection."
SECTION 5.
5-31 This Act shall become effective upon its approval by the
5-32 Governor or upon its becoming law without such approval.
SECTION 6.
5-33 All laws and parts of laws in conflict with this Act are
5-34 repealed.
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Last Updated on 01/02/97