Bill Text: GA HR1484 | 2009-2010 | Regular Session | Introduced
Bill Title: United States Congress; not pass legislation preventing state from collecting third-party hotel-motel tax; request
Spectrum: Bipartisan Bill
Status: (Introduced - Dead) 2010-03-10 - House Second Readers [HR1484 Detail]
Download: Georgia-2009-HR1484-Introduced.html
10 LC
94 2518
House
Resolution 1484
By:
Representatives Stephens of the
164th
and Bryant of the
160th
A
RESOLUTION
Requesting
that the United States Congress not pass legislation that would preempt local
taxing authority by preventing state and local governments from collecting
hotel-motel taxes and any sales taxes or sales and use taxes from third-party
intermediaries when hotel rooms are booked through such third parties, that
would allow online travel companies to avoid paying hotel-motel taxes and any
sales taxes or sales and use taxes on retail room rates prospectively, or that
would preempt local governments from suing online travel companies to recover
unpaid hotel-motel taxes or any sales taxes and sales and use taxes; and for
other purposes.
WHEREAS,
the State of Georgia, like the rest of the nation, is in the midst of a
challenging economic downturn; and
WHEREAS,
state and local governments are experiencing tremendous budgetary strains
associated with the worst fiscal crisis since the Great Depression;
and
WHEREAS,
the hotel-motel tax and the associated sales and use taxes have a significant
impact on the economy of the State of Georgia and are important funding sources
for many local governments in Georgia; and
WHEREAS,
tourism in Georgia is a major contributor to this state's economy and the
well-being of its citizens; and
WHEREAS,
hotel-motel taxes and any sales taxes or sales and use taxes are often used to
fund tourism promotion and destination marketing, promote conventions and trade
shows, promote economic development, pay bond obligations on community projects,
and fund tourism costs such as those related to convention centers and visitor
centers; and
WHEREAS,
online travel companies receive payments over the Internet for the lease or
rental of hotel rooms in Georgia municipalities and counties;
and
WHEREAS, some online travel companies do not remit to Georgia municipalities and counties the full amount of hotel-motel taxes and sales and use taxes collected based upon the total consideration charged for the lease or rental of hotel rooms and instead remit taxes on the wholesale price of the room and not the room rate advertised to the consumer; and
WHEREAS, some online travel companies do not remit to Georgia municipalities and counties the full amount of hotel-motel taxes and sales and use taxes collected based upon the total consideration charged for the lease or rental of hotel rooms and instead remit taxes on the wholesale price of the room and not the room rate advertised to the consumer; and
WHEREAS,
in order to collect hotel-motel taxes and any sales taxes or sales and use taxes
owed, local governments throughout the country have filed lawsuits to compel
firms that receive payments over the Internet for the lease or rental of hotel
rooms to remit to the local governments the unpaid taxes that were not paid
because of the practice of calculating taxes on the wholesale rate rather than
the full booking price; and
WHEREAS,
the City of Columbus, Georgia, recently won a suit against an online travel
company when the court found that the online travel company should pay taxes to
the local government based on the room rate advertised to the consumer;
and
WHEREAS,
after the suit was filed, online travel companies subsequently delisted hotels
in Columbus, Georgia, and searches through these websites for Columbus
accommodations are now directed to Phenix City, Alabama, or other jurisdictions,
and this delisting has occurred in other jurisdictions; and
WHEREAS,
bills or amendments or both are being considered at the federal level that would
prevent state and local governments from collecting hotel-motel taxes and any
sales taxes or sales and use taxes from third-party intermediaries when hotel
rooms are booked through such third parties, that would allow online travel
companies to avoid paying hotel-motel taxes and any sales taxes or sales and use
taxes on retail room rates prospectively, or that would preempt local
governments from suing online travel companies to recover unpaid hotel-motel
taxes and any sales taxes or sales and use taxes; and
WHEREAS,
federal legislation that impinges on the ability of state and local governments
to collect hotel-motel taxes and any sales taxes or sales and use taxes is
contrary to local control and federalizes what are traditionally local tax
matters.
NOW,
THEREFORE, BE IT RESOLVED BY THE HOUSE OF REPRESENTATIVES that the members of
this body request that the Georgia congressional delegation oppose legislation
that would preempt local taxing authority by preventing state and local
governments from collecting hotel-motel taxes and any sales taxes or sales and
use taxes from third-party intermediaries, that would allow online travel
companies to avoid paying hotel-motel taxes and any sales taxes or sales and use
taxes on retail room rates prospectively, or that would preempt local
governments from suing online travel companies to recover unpaid hotel-motel
taxes and any sales taxes or sales and use taxes.
BE
IT FURTHER RESOLVED that the Clerk of the House of Representatives is authorized
and directed to transmit an appropriate copy of this resolution to each member
of the Georgia congressional delegation.
