Budget in Brief: Resort City Tax - Occupancy 7% and Local Option Tax 1%
Resort City Tax Revenues
Resort City Tax has become a significant and critical source of revenue for the City to offset the impact of tourism-related population swings and the associated demand on City services. These services are otherwise almost wholly supported by local property taxes. The 7% voter- approved Occupancy Tax levied on hotels, bed and breakfast establishments and short-term vacation rentals has increased substantially in the past few years as the economy has improved and tourism has increased. In 2021, revenues are projected at $350,000.
Resort City Tax - Local Option Tax 1%
LOT is a 1% tax imposed on all taxable sales. Taxable sales are as defined by Chapter 36 of Title 63, Idaho Code. The tax collected is paid to the City on or before the 20th of the month following collection. The tax was voter approved under Ordinance No. 1320 and is effective January 1, 2016 to December 31, 2020.