It is the purpose of this article to implement the provisions
of N.J.S.A. 54:32D-1 et seq., as amended, to hotels, motels and short-term
rentals, which authorizes the governing body of a municipality to
adopt an ordinance imposing a tax at a uniform percentage rate on
charges of rent for every occupancy of a room or rooms in a hotel
or motel or a short-term rental subject to taxation pursuant to N.J.S.A.
54:32B-3(d), which tax shall be in addition to any other tax or fee
imposed pursuant to statute or local ordinance or resolution by any
governmental entity upon the occupancy of a hotel or motel room or
a short-term rental.
As used in this article, the following terms shall have the
meanings indicated:
Any room or rooms or suite or apartment thereof, whether
furnished or unfurnished, which is occupied or intended, arranged,
or designed to be occupied for sleeping and dwelling purposes by one
or more persons, excluding the owner thereof, and shall include all
privileges, services, furnishings, furniture, equipment, facilities
and improvements connected with the use or occupancy thereof; and
which shall include a single-family residence designed for use by
one family or household unit for living and sleeping purposes.
An apartment or dwelling unit that is offered for rent that
is directly or indirectly owned or controlled by a person offering
for rent two or more other units during the calendar year.
A transient accommodation with a lease of less than 90 consecutive
days.
An apartment or dwelling unit that is obtained through a
transient space marketplace or is a professionally managed unit. It
does not include a rental transaction where a licensed real estate
broker performs all the services necessary to carry out the rental.
Any electronic or internet-based advertising form used for
the purpose of renting or leasing a transient accommodation wherein
the payment for the accommodation is made through a means provided
by the marketplace or travel agency, either directly or indirectly,
regardless of which person or entity receives the payment, and where
the contracting for the accommodation is made through the marketplace
or travel agency.
There is hereby established a hotel and motel room and short-term
rental occupancy tax in the City of Somers Point, which shall be fixed
at a uniform percentage rate of 3% on charges of rent for every occupancy
of a hotel or motel room or short-term rental in the City of Somers
Point in a hotel or motel subject to taxation pursuant to N.J.S.A.
54:32B-3(d).
The hotel and motel room occupancy tax shall be in addition
to any other tax or fee imposed pursuant to statute or local ordinance
or resolution by any governmental entity upon the occupancy of a hotel
or motel room or a short-term rental.
The hotel and motel room occupancy tax authorized herein shall
not be imposed on the rent for an occupancy if the purchaser, user
or consumer is an entity exempt from the tax imposed on an occupancy
under the Sales and Use Tax Act pursuant to N.J.S.A. 54:32B-9(a).
In accordance with the requirements of N.J.S.A. 54:32D-1 et
seq.:
A.
All taxes imposed by this article shall be paid by the purchaser.
B.
A vendor shall not assume or absorb any tax imposed by this article.
C.
A vendor shall not in any manner advertise or hold out to any person
or to the public in general, in any manner, directly or indirectly,
that the tax will be assumed or absorbed by the vendor, that the tax
will be separately charged and stated to the customer, or that the
tax will be refunded to the customer.
D.
Each assumption or absorption by a vendor of the tax shall be deemed
a separate offense, and each representation or advertisement by a
vendor for each day that the representation or advertisement continues
shall be deemed a separate offense.
E.
The penalty for violation of the foregoing provision shall be up
to $500 or 90 days in jail, or both, at the discretion of the Judge
of the Municipal Court, for each offense.
The tax imposed by this article shall be collected on behalf
of the City by the person or entity collecting the rent from the hotel
or motel or short-term rental customer. Each person required to collect
the tax herein imposed shall be personally liable for the tax imposed,
collected or required to be collected hereunder. Any such person shall
have the same right in respect to collecting the tax from a customer
as if the tax were a part of the rent and payable at the same time,
provided that the Chief Financial Officer of the City shall be joined
as a party in any action or proceeding brought to collect the tax.
From and after the effective date of this article, the hotel
and motel occupancy tax revenue shall be included within the annual
budget, and a dollar amount not less than 33 1/3% of the hotel
and motel occupancy tax revenue received by the City of Somers Point
during the preceding calendar year or $50,000, whichever is less,
shall be included within the next annual budget as a line item to
fund the Somers Point Economic Development Advisory Committee. All
expenditures of the Somers Point Economic Development Advisory Committee
shall, however, remain subject to review by and approval of the governing
body.
