[HISTORY: Adopted by the Village Board of the Village of Grafton by Ord. No. 011-94, 1994 (Title 5, Ch. 5.48, of the 1979 Code). Amendments noted where applicable.]
[Amended by Ord. No. 007, Series 2000]
Pursuant to § 66.0615, Wis. Stats., a tax is imposed on the privilege and service of furnishing, at retail, rooms or lodging to transients by hotelkeepers, motel operators and other persons furnishing accommodations that are available to the public, irrespective of whether membership is required for the use of the accommodations. Such tax shall be at the rate of 7% of the gross receipts from such retail furnishing of rooms or lodgings. Such tax shall not be subject to the selective sales tax imposed by § 77.52(2)(a)1, Wis. Stats.
[Added by Ord. No. 009, Series 2010]
Every hotelkeeper, motel operator or other persons furnishing accommodations under § 5.48.010 shall file with the Village Clerk an application for a permit for each place of business. Every application for a permit shall be made upon a form prescribed by the Village Clerk and shall set forth the name under which the applicant intends to transact business, the location of the business and such information as the Village Clerk requires. The application shall be signed by the owner if a sole proprietor and, if not a sole proprietor, by the person authorized to act on behalf of such sellers. At the time of making an application, and annually thereafter, the applicant shall pay a fee of $50. The permit shall be renewed each year by July 1.
[Added by Ord. No. 009, Series 2010]
After compliance with §§ 5.48.010 and 5.48.015, the Village Clerk shall grant and issue to each applicant a separate permit for each place of business within the Village. Such permit is not assignable and is valid for only the person in whose name it is issued and for the transaction of business at the place designated therein. It shall, at all times, be conspicuously displayed at the place for which issued.
[Added by Ord. No. 009, Series 2010]
When any person fails to comply with the provisions of this chapter, the Village Clerk may, upon 10 days' notification and after affording such person the opportunity to show cause why the permit shall not be revoked, revoke or suspend any or all permits held by such person. The Village Clerk shall give to each person written notice of the suspension or revocation of any permits. The Village Clerk shall not issue a new permit after revocation of a permit until §§ 5.48.020, 5.48.040, 5.48.050 and 5.48.070 have been complied with. A fee of $50 shall be imposed for the renewal or issuance of a permit which has been previously suspended or revoked.
The room tax imposed by § 5.48.010 for each calendar quarter is due and payable and must be received by the Director of Administrative Services at the Village Hall on or before the last business day of the following month succeeding the calendar quarter for which it is imposed. The business entity collecting the tax shall be entitled to retain 1% of the amount collected as reimbursement for its costs and efforts in the collection of the tax and the reporting requirements of this chapter.
Quarterly room tax returns. A return shall be filed with the Director of Administrative Services on or before the same date on which such tax is due and payable. Such return shall be on a form provided by the Village and shall show the gross receipts of the preceding calendar quarter from such retail furnishing of rooms or lodging, the amount of taxes imposed for such period, and such other information as the Director of Administrative Services deems necessary, provided it is directly related to the tax.
[Amended 7-16-2012 by Ord. No. 008-2012]
The room tax imposed hereunder shall be a continuing liability upon the business entity or person upon whom it is imposed until paid in full. Business successors shall be liable for all quarters for which a return has not been filed and payment not received.
All unpaid taxes under this chapter shall bear interest at the rate of 12% per annum from the due date of the return until the first day of the month following the month in which the tax was paid.
Tax returns required hereunder and not timely filed shall be deemed delinquent and shall be subject to a ten-dollar late filing fee.
The Director of Administrative Services shall be responsible for the administration and collection of the room tax. The Director of Administrative Services may, by field audit, determine the tax required to be paid to the Village or the refund due to any person under this chapter. The determination shall be made upon the basis of the facts contained in the return being audited and upon any other information available to the Director of Administrative Services. The Director of Administrative Services is authorized to examine and inspect the books, records memoranda and property of any person which are directly related to the tax or which have a direct bearing upon the gross receipts upon which the tax due is determined in order to verify the tax liability of that person or of another person. Nothing herein shall prevent the Director of Administrative Services from making a determination of tax at any time.
The room tax collection shall be allocated to the room tax fund for the purposes of funding economic development, public works activities and capital improvement projects as determined by the Village Board.
If any person fails to timely file a return, as required by this chapter, the Director of Administrative Services shall make an estimate of the amount of the gross receipts upon which the tax is determined. Such estimate shall be made for the period for which such person failed to make a return and shall be based upon any information which is in the Director of Administrative Services' possession or may come into his or her possession or such other information as may have a bearing upon the determination of gross receipts. On the basis of this estimate, the Director of Administrative Services shall compute and determine the amount required to be paid to the Village, adding to the sum thus arrived at a penalty equal to 10% thereof. Such determination may be made for each quarterly period for which no return is filed. Such penalty shall be due upon written notice to the business entity or person owing the tax and shall not be in lieu of the tax due hereunder.
If a person files a false or fraudulent return with the intent in either case to defect or evade the tax imposed by this chapter, a penalty of 50% shall be added to the tax required to be paid, exclusive of interest and other penalties.
Every person liable for the tax imposed by this chapter shall keep or cause to be kept such records, receipts, invoices and other pertinent papers in such form so as to enable the Director of Administrative Services to determine the tax due hereunder.
All tax returns, schedules, exhibits, writings or audit reports relating to such returns on file with the Director of Administrative Services are deemed to be confidential, except the Director of Administrative Services may divulge their contents to the following and no others:
No person having an administrative duty under this section shall make known in any manner the business affairs, operations or information obtained by an investigation of records of any person on whom a tax is imposed by this section; the amount or source of income, profits, losses, expenditures or any particular thereof set forth or disclosed in any return; or permit any return or copy thereof to be seen or examined by any person, except as provided herein.
Violation of this section shall be subject to a penalty of not less than $100 nor more than $500.
[Added at time of adoption of Code (see Ch. 1.01, Code Adoption)]
For the purposes of this chapter, the following terms shall have the meanings given herein:
- HOTEL or MOTEL
- A building or group of buildings in which the public may obtain accommodations for a consideration, including, without limitation, such establishments as inns, motels, tourist homes, tourist houses or courts, lodging houses, summer camps, bed-and-breakfast, apartment hotels, resort lodges, campgrounds, cabins and any other building or group of buildings in which the accommodations are available to the public, except accommodations rented for a continuous period of more than one month and accommodations furnished by any hospital, sanitoriums or nursing homes, rooming houses, or by corporations or associations organized and operated exclusively for religious, charitable or educational purposes, provided that no part of the net earnings of such corporations or associations inures to the benefit of any private shareholder or individual.
- Includes corporations, partnerships or other business entities.
- Any individual residing for a continuous period of less than one month in a motel, hotel or other furnished accommodations available to the public.
Editor's Note: The original definition of "gross receipts," which immediately followed, was repealed at time of adoption of Code (see Ch. 1.01, Code Adoption).
Any violation of, or noncompliance with, any of the provisions of this chapter for which a penalty has not been prescribed herein shall subject the violator to a forfeiture of not less than $50 nor more than $250, together with the costs of prosecution and, in default of payment thereof, to imprisonment in the county jail until such forfeiture has been paid, but not to exceed 15 days. Each day of violation or noncompliance shall constitute a separate offense.