AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

H.B. 3076, 82nd Legislature, Regular Session, 2011, allowed Val Verde County to impose a hotel/motel tax of seven percent in the unincorporated parts of the county and at a rate not to exceed a cumulative total of seven percent within the boundaries of municipalities in the county when added to the hotel tax rate imposed by the municipality.  The municipality of Del Rio already charges a hotel tax of seven percent. 

 

The commissioners court of Val Verde County wishes to impose an additional two percent tax for hotel occupancy within any incorporated municipality subject to Section 352.003(q), Tax Code, raising the maximum cumulative hotel/motel tax rate within the corporate limits of municipalities within Val Verde County from seven percent to nine percent when combining the rates charged by the city and county. 

 

As proposed, S.B. 1833 amends current law relating to the rate of the hotel occupancy tax in certain counties.

 

RULEMAKING AUTHORITY

 

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

 

SECTION BY SECTION ANALYSIS

 

SECTION 1.  Amends Section 352.003(q), Tax Code, as follows:

 

(q) Requires the county to impose the tax authorized under Section 352.002(a)(13) (relating to authorizing the commissioners court of a county that borders the United Mexican States and in which there is located a national recreation area to impose a tax on a person who pays for the use or possession of a hotel room that fulfills certain conditions) at a rate that may not exceed two percent of the price paid for a room in a hotel if the hotel is located in a municipality that imposes a tax under Chapter 351 (Municipal Hotel Occupancy Taxes) applicable to the hotel or the extraterritorial jurisdiction of that municipality and the municipality imposes a tax in that area under Section 351.0025 (Extraterritorial Jurisdiction) applicable to the hotel.  Deletes existing text authorizing the county to impose the tax on a hotel to which the municipal tax applies at a rate that, when added to the municipal tax rate, does not exceed seven percent of the price paid for a room in the hotel if a municipality in the county imposes a tax under Chapter 351.

 

SECTION 2.  Effective date: upon passage or September 1, 2013.