[HISTORY: Adopted by the Mayor and Council of the City of Crisfield as indicated in article histories. Amendments noted where applicable.]
Inventory and related taxes — See Ch. 11.
Article I Late Payment
Article II Hotel Rental Tax
[Adopted 5-12-1987 by Ord. No. 420]
Editor's Note: This ordinance also cited § 14-702 of the Tax-Property Article of the Annotated Code of Maryland as its authority and provided that it shall be effective January 1, 1988, on all taxes in default on January 1, 1988.
Taxes levied pursuant to §§ C6-13 et seq. of the Charter which are in default on the first day of January after they are first due and payable shall bear a penalty at the rate of 1% per month for every month or fraction of a month the payment shall remain in default, which penalty shall be collected and paid at the same time and in the same manner as the taxes and accrued interest.
[Adopted 5-25-2016 by Ord. No. 660]
The following words and phrases when used in this article shall have the following meanings:
- CITY CLERK
- The City Clerk or his or her designee.
- Any public or private hotel, inn, hostelry, tourist home or house, motel, cottage, apartment, rooming house or other lodging place within the municipal limits of the City of Crisfield that, for compensation, offers 10 or more sleeping rooms which furnish sleeping accommodations to any transient as defined in the definition of "transient" in this section.
- ROOM RENTAL
- The total charge made by any hotel for sleeping accommodations or space furnished to any transient for a period not exceeding four consecutive months. Room rental does not include any hotel charge for services or for accommodations other than sleeping accommodations. If the charge made by a hotel includes any charge for services or accommodations in addition to a room rental charge for the use of sleeping space, then the portion of the total charge that represents only room rental shall be distinctly set out and billed by the hotel as a separate item. In the absence of any separate billing or identification, all charges shall be presumed to be a room rental charge for the use of sleeping accommodations.
- Any person who pays room rental for occupancy of sleeping accommodations in a hotel.
There is levied and imposed on each and every transient a hotel rental tax at the rate of 2% of the total amount paid for room rental to any hotel, by or for a transient, for sleeping accommodations, except as provided in § 100-5.
Every hotel that receives any payment for room rental with respect to which a hotel rental tax is levied under this article shall collect the amount of such hotel rental tax when payment for the room rental is made. The hotel rental tax required to be collected by a hotel under this article shall be deemed to be held in trust by the hotel required to collect the hotel rental tax until remitted to the City as required by this article.
Whenever a hotel that is required to collect and pay to the City a hotel rental tax under this article ceases doing business, or otherwise disposes of its business, any hotel rental tax payable under this article to the City shall become immediately due and payable, and the hotel shall immediately make a report to the City Clerk and pay the hotel rental tax due.
The City shall administer the hotel rental tax imposed under this article to provide for the orderly, systematic and thorough administration of the hotel rental tax and, subject to the provisions of Subsections B and C of this section, may adopt regulations that are consistent with this article and conform to the applicable provisions and regulations for the sales and use tax under Title 11 of the Tax-General Article of the Annotated Code of Maryland.
A hotel that collects a hotel rental tax imposed under this article shall submit a report upon the forms, and set forth the information as the City Clerk may prescribe and require, showing the amount of room rental charges collected, and the hotel rental tax required to be collected, and shall sign and deliver the report to the City Clerk with a remittance of the hotel rental tax. The reports and remittances shall be made on or before the last day of each calendar month and shall cover the amount of hotel rental tax collected during the preceding calendar month.
It shall be the duty of each and every hotel liable for the collection and payment to the City of any hotel rental tax imposed by this article to keep and preserve, for a period of three years, such records as may be necessary to determine the amount of the hotel rental tax the hotel was liable to collect and pay to the City. The City Clerk may inspect any such records at all reasonable times.
No hotel rental tax shall be payable under this article on a room rental:
In any hospital, medical clinic, nursing home, rest home, convalescent home, or home for aged persons.
From a private nonprofit educational organization that:
Is not organized or operated for the purpose of carrying on or promoting a trade, business, or religious philosophy; but
Principally houses groups of young people exclusively for the purpose of developing leadership and citizenship skills and promotion of the general public welfare; or
From a nonprofit charitable, religious, educational, recreational or literary organization, other than a country club, when the primary use of the facility is other than housing overnight guests.
If a hotel does not remit to the City Clerk the hotel rental tax required to be collected and paid under this article, or does not make a proper report to the City Clerk within the time and in the amount specified by this article, the City Clerk shall add interest of 1%, per month, on the amount of the unpaid hotel rental tax for each month or portion of a month from the date upon which the hotel rental tax is due and until the hotel rental tax, including all interest and penalties incurred thereon, is paid in full to the City.
If a hotel does not remit to the City Clerk the hotel rental tax required to be collected and paid under this article, or does not make a proper report to the City Clerk within the time and in the amount specified by this article, within one month after such payment or report is due, the City Clerk shall add a penalty of 5% of the unpaid hotel rental tax for each and every month or portion of a month the hotel rental tax remains unpaid, or the proper report to the City Clerk is not made; provided, however, that any such penalty imposed under this subsection shall not exceed 25% of the hotel rental tax due by the hotel under this article.
If a hotel fails or refuses to collect the hotel rental tax within the time required by this article, or if a hotel fails or refuses to make any report or remittance required by this article, the City Clerk shall proceed in a manner as he or she may deem best to obtain the facts and information on which to base his or her estimate of the hotel rental tax due under this article, including, but not limited to, the historical occupancy rates of the hotel. As soon as the City Clerk obtains the facts and information to base the assessment of any hotel rental tax payable by a hotel that has failed or refused to collect the same, or has failed or refused to make the report and remittance required by this article, the City Clerk shall determine and assess against the hotel the amount of the hotel rental tax, interest and penalties due under this article, and the City Clerk shall notify the hotel, by mail sent to its principal place of business or its last known address if no longer in business, of the total amount of the hotel rental tax, interest and penalties due to the City and that such total amount shall be payable within 10 days from the date of the notice.
Any violation of this article shall constitute a municipal infraction and shall be enforceable pursuant to the provisions of Chapter 10 of this Code. Each and every violation of this article shall constitute a separate offense. A conviction of a municipal infraction under this article shall not relieve any hotel or transient from the payment, collection or remittance of the hotel rental tax, interest and penalties due under this article.
In addition to any other enforcement or penalties, the City may institute injunctive, mandamus or any other appropriate civil proceeding to enforce the provisions of this article or to abate any violation of the provisions of this article.
Hotel rental taxes levied under this article, until remitted to the City, are a lien against all real and personal property of the hotel liable for the collection of the hotel rental tax imposed by this article. The hotel rental tax imposed by this article is collectible in the same manner, and bears the same rights and priorities as the City property tax under the Tax-Property Article of the Annotated Code of Maryland.
The City shall distribute the hotel rental tax collected by the City under this article to the general fund of the City.