The following words, terms, and phrases, when used in this article,
shall have the meanings ascribed to them in this article, except where
the context clearly indicates a different meaning:
The monetary cost of a room or sleeping space in a hotel
only if the room is one ordinarily used for sleeping and shall not
include the cost of any food served or personal services rendered
to the occupant of such room not related to the cleaning and readying
of such room for occupancy.
Any building or buildings in which members of the public
may, for consideration, obtain sleeping accommodations. The term includes
hotels, motels, bed and breakfasts, tourist homes, houses or courts,
lodging houses, inns, rooming houses, or other buildings where rooms
are furnished for consideration, but “hotel” shall not
include hospitals, sanitariums, nursing homes, or dormitories or other
housing facilities owned or leased and operated by an institution
of higher education or a private or independent institution of higher
education.
The use or possession, or the right to the use or possession,
of any room or space in a hotel if the room or space is one which
is ordinarily used for sleeping and if the occupant’s use, possession
or right to use or possession extends for a period of less than thirty
(30) days.
Anyone who, for consideration, uses, possesses, or has a
right to use or possess any room in a hotel if the room is one ordinarily
used for sleeping.
Any individual, corporation, or other legal entity.
The regular calendar quarters of the year, the first quarter
being composed of the months of January, February and March; the second
quarter being the months of April, May and June; the third quarter
being the months of July, August and September, and the fourth quarter
being the months of October, November and December.
(Ordinance O-04-19 adopted 6/18/19)
Under the provisions of V.T.C.A., Tax Code sec. 351.002, there
is hereby levied upon the cost of occupancy of any room furnished
by any hotel within the corporate limits of the city a hotel occupancy
tax equal to seven percent (7%) of the consideration paid by the occupant
of such room to such hotel, where said consideration of occupancy
is at the rate of two dollars ($2.00) or more per day and such room
or space is ordinary used for sleeping. This tax shall be exclusive
of other occupancy taxes imposed by other governmental agencies under
the law.
(Ordinance O-04-19 adopted 6/18/19)
Every person owning, operating, managing, or controlling any
hotel shall collect the tax levied by this section for the city.
(Ordinance O-04-19 adopted 6/18/19)
The taxes provided for herein shall be paid on a monthly period
basis. On or before the twentieth (20th) day of the month following
each calendar month, every person required by this article to collect
the taxes imposed herein shall file a report with the director of
finance of the city showing the consideration paid for all room occupancies
in the preceding calendar month, the amount of the taxes collected
on such occupancies and such other information as the director of
finance may reasonably require. The report shall be submitted in a
form prescribed by the director of finance of the city. Such person
shall pay the taxes due on such occupancies at the time of filing
of such report.
(Ordinance O-04-19 adopted 6/18/19)
The director of finance of the city shall have the power to
make such rules and regulations as are reasonable and necessary to
effectively collect the tax levied herein, and shall, upon reasonable
notice, have access to all books and records of hotels subject to
this article as necessary to enable the director of finance to determine
the correctness of any report filed as required by this article, and
the amount of taxes due under the provisions of this article.
(Ordinance O-04-19 adopted 6/18/19)
(a)
Any person who fails to collect the tax levied herein, fails to file
a report as required herein, files a false report, or fails to pay
the director of finance the tax imposed herein when due, shall owe
a penalty of five percent 5% of the total tax amount due. After the
first thirty 30 days, said person shall owe an additional five percent
5% of such tax. Delinquent taxes shall further draw interest at the
rate of ten percent (10%) per annum beginning sixty (60) days from
the due date.
(b)
The city attorney or other attorney acting for the city may bring
suit against a person who is required to collect the tax imposed by
this article and pay the collections over to the city and who has
failed to file a tax report or pay the tax when due under this article
to collect the tax not paid, to enjoin the person from operating a
hotel in the city until the tax is paid or the report filed, or both,
and/or seek any other remedy permitted by law. In addition to the
amount of any tax owed under this article, the city may also seek
recovery of and shall be entitled to recovery of the city’s
reasonable attorney’s fees incurred in bringing the action.
(Ordinance O-04-19 adopted 6/18/19)
Any person violating any of the provisions of this article,
including persons who fail to collect the tax, file a false return,
or are delinquent in the submitting of a report or tax required by
this article, shall be charged with a misdemeanor and shall, upon
conviction, be fined in any sum not to exceed five hundred dollars
($500.00), and each twenty-four (24) hours of any such violation shall
constitute a separate offense.
(Ordinance O-04-19 adopted 6/18/19)
All revenue received from any hotel occupancy tax authorized
under this article shall be used only for those purposes authorized
by chapter 351, Texas Tax Code, Vernon’s Revised Civil Statutes,
as amended.
(Ordinance O-04-19 adopted 6/18/19)
(a)
If a person who is liable for the payment of an amount under this
article is the owner of the hotel and sells the hotel, the successor
to the seller or the seller’s assignee shall withhold an amount
of the purchase price sufficient to pay the amount due until the seller
provides a receipt from the tax collector/assessor of the city showing
that the amount has been paid or a certificate stating that no amount
is due.
(b)
The purchaser of a hotel who fails to withhold an amount of the purchase
price as required by this article is liable for the amount required
to be withheld to the extent of the value of the purchase price.
(c)
The purchaser of a hotel may request that the tax assessor/collector
of the city issue a certificate stating that no tax is due or issue
a statement of the amount required to be paid before a certificate
may be issued. The director of finance of the city shall issue the
certificate or statement not later than sixty (60) days after receiving
the request.
(d)
If the tax assessor/collector of the city fails to issue the certificate or statement within the applicable period provided by subsection (c) of this section, the purchaser is released from the obligation to withhold the purchase price or pay the amount due.
(e)
The period of limitation during which the tax assessor/collector
of the city may assess tax against the purchaser under this section
is four years from the date when the former owner of the hotel sells
the hotel or when a determination is made against the former owner,
whichever event occurs later. At any time within three years after
a deficiency determination against the purchaser has become due and
payable, the city attorney may bring an action in a district court
of the county or a court of any other state of the United States in
the name of the city to collect the delinquent amounts, together with
penalties and interest and all other available legal remedies, including
the recovery of the city’s reasonable and necessary attorney’s
fees expended in bringing such action.
(Ordinance O-04-19 adopted 6/18/19)
