[Amended 5-19-2014 by Ord. No. 2014-02; 5-21-2015 by Ord. No. 2015-02; 10-1-2015 by Ord. No. 2015-03; 6-6-2017 by Ord. No. 2016-10; 10-5-2023 by Ord. No. 2023-09]
A.
Beginning July 1, 2015, there is hereby levied and imposed, in addition
to all other taxes and fees of every kind now imposed by law, on each
transient a tax equivalent to 5% of the total amount paid for lodging
by or for any such transient to any hotel, together with an additional
tax equivalent to 2% of the total amount paid for lodging by or for
any such transient to any hotel as authorized by Code of Virginia,
§ 58.1-3825. Such tax shall be collected from each transient
at the time and in the manner provided by this article. The additional
2% tax shall be appropriated to the Virginia Horse Center Foundation
to be used by the Foundation for the sole purpose of making principal
and interest payments associated with refinancing a promissory note
or notes signed or executed by either the Virginia Equine Center Foundation
or the Virginia Horse Center Foundation prior to January 1, 2004,
with the Rockbridge Industrial Development Authority as the obligee
or payee, as part of an agreement for the Authority to issue bonds
on behalf of or for improvements at the Virginia Horse Center Foundation,
Virginia Equine Center Foundation or Virginia Equine Center.
B.
There also is imposed a 1% transient occupancy tax, in addition to
the 5% and 2% taxes referenced above, for an additional period of
five fiscal years (fiscal years 2025, 2026, 2027, 2028 and 2029).
This additional 1% tax also shall be collected from each transient
at the time and in the manner provided by this article. The proceeds
of the additional 1% tax will be appropriated to the Virginia Horse
Center Foundation to be used by the Foundation for the sole purpose
of making principal and interest payments on the promissory note or
notes executed by the Foundation prior to January 1, 2019, with CornerStone
Bank, and any refinancing of the CornerStone debt. An amount equal
to the receipts from this additional 1% tax will be deposited into
a restricted bank account (restricted account) on a monthly basis
and used by the Foundation exclusively for the satisfaction of the
CornerStone debt. The payment of tax receipts to the Foundation under
this section shall not exceed $61,000 annually. Any amounts collected
on the 1% tax in any fiscal year over and above $61,000 may be used
in accordance with applicable law. The additional 1% tax established
herein shall expire upon the earlier of i) the satisfaction of the
CornerStone debt or ii) June 30, 2029. All appropriations to the Virginia
Horse Center under this section will be made through the Industrial
Development Authority of the City of Lexington.
[Amended 12-7-2017 by Ord. No. 2017-15]
The following words and phrases, when used in
this article, shall for the purpose of this article, have the following
respective meanings, except where the context clearly indicates a
different meaning:
The Treasurer of the City and any duly authorized deputies
and agents.
The Commissioner of the Revenue of the City and any duly
authorized deputies and agents.
Any public or private hotel, inn, hostelry, tourist home
or house, motel, rooming house or other lodging place within the City
offering lodging, as defined in this section, for compensation to
any transient as defined in this section.
Room or space furnished to any transient.
Any individual, corporation, company, association, firm,
co-partnership or any group of individuals acting as a unit.
Any person who, for a period of less than 30 days, either
at his own expense or at the expense of another, obtains lodging at
any hotel.
[Amended 9-20-2018 by Ord. No. 2018-14
A.
Generally. Every person receiving any payment for
lodging with respect to which a tax is levied under this article shall
collect the amount of such tax so imposed from the transient on whom
such tax is levied, or from the person paying for such lodging, at
the time payment for such lodging is made. The taxes required to be
collected under this article shall be deemed to be held in trust by
the person required to collect such taxes until the same shall have
been remitted to the City Treasurer.
B.
Report and remittance made to City Treasurer; discount.
(1)
The person collecting any tax as provided in this
article shall make out a report thereof upon such forms, setting forth
such information, as the Commissioner of the Revenue may prescribe
and require, showing the amount of lodging charges collected and the
tax required to be collected, and shall sign and deliver such report
to the City Treasurer with the remittance of such tax. Such report
and remittance shall be made as required by the Commissioner of the
Revenue, which shall be at least once in every thirty-day period.
(2)
For the purpose of compensating the person for accounting
for and remitting the tax levied by this article, such person shall
be allowed 3% of the amount of tax due and accounted for, in the form
of a deduction, in submitting his return and paying the amount due
by him (or her), if the amount due was not delinquent at the time
of payment.
A.
Penalty. If any person shall fail or refuse to remit
to the City Treasurer the tax required to be collected and paid under
this article, within the time and in the amount as provided for in
this article, there shall be added to such tax by the Commissioner
of the Revenue a penalty in the amount of 5% thereof and interest
thereon at the rate of 8% per annum, which shall be computed upon
the tax and penalty from the date such taxes were due and payable.
B.
Duty of Commissioner of the Revenue. If any person
shall fail or refuse to collect the tax imposed under this article
and to make, within the time provided in this article, the reports
and remittances required, the Commissioner of the Revenue shall proceed
in such manner as he or she may deem best to obtain facts and information
on which to base the tax due. As soon as the Commissioner of the Revenue
shall secure such facts and information as he or she is able to obtain
upon which to base the assessment of any tax due and payable by any
person who has failed or refused to collect such tax and to make such
report and remittance, the Commissioner of the Revenue shall proceed
to determine and assess against such person such tax and penalty and
interest as in this article provided for and shall notify such person
by registered mail, sent to his last place of known address, of the
amount of such tax and interest and penalty, and the total amount
thereof shall be payable within 10 days of such notice. The Commissioner
of the Revenue shall have the power to examine such records, for the
purpose of administering and enforcing the provisions of this article,
as are provided by law.
Whenever any person required to collect and
pay to the City a tax pursuant to the provisions of this article shall
cease to operate, go out of business or otherwise dispose of his business,
any tax then payable to the City shall become immediately due and
payable and such person shall immediately make a report and pay the
tax due the City Treasurer.
It shall be the duty of every person liable
for the collection and payment to the City of any tax imposed by this
article to keep and to preserve for a period of two years such suitable
record as may be necessary to determine the amount of such tax as
he or she may have been responsible for collecting and paying to the
City. The Commissioner of the Revenue may inspect such records at
all reasonable times.
Any person who shall violate any of the provisions
of this article shall, upon conviction thereof, be fined not less
than $35 nor more than $200 or confined in jail for not more than
30 days, either or both. Every violation and each day's continuance
thereof shall constitute a separate offense.
The foregoing provisions of this article shall
be in effect from and after August 1, 1972.
