Chapter 909, Laws of 1999; Chapter 941, Laws of 2004; House Bill 1713 2008 Regular Session
Senate Bill 2910, 2015 Regular Session
House Bill 1637, 2018 Regular Session
House Bill 1565, 2022 Regular Session
A 1% tax is imposed on the gross proceeds of the sales of restaurants, hotels, and motels, including, but not limited to, sales of beer and alcoholic beverages sold to be consumed on the premises. This levy is in addition to all other taxes imposed. Effective May 1, 1999 and shall stand repealed from and after July 1, 2026.
“Hotel” or “motel” is a place of lodging that accommodates transient guests on a daily or weekly basis and that is known to the trade as such. Such term does not include a place of lodging with ten or less rental units.
“Restaurant” means all places where prepared food is sold and whose annual gross proceeds of sales or gross income for the proceeding calendar year equals or exceeds $100,000. For the purpose of calculating gross proceeds of sales or gross income, the sales or income of all establishments owned, operated or controlled by the same person, persons, or corporation shall be aggregated.
Note: Effective May 9, 2008, the term restaurant shall not include any non-profit organization that is exempt from federal taxation by 501(c)(3) IRC.