HomeMy WebLinkAboutOrdinance #1767
ORDINANCE NO. 1?h7
AN ORDINANCE ESTABLISHING AHOTEL/MOTEL TAX FOR THE CITY OF
CANTON, FULTON COUNTY
WHEREAS, the Legal and Ordinance Committee has determined that it is necessary and
in the best interest of the City of Canton to establish a HoteUMotel Tax in the Municipal Code
for the City of Canton; and,
WHEREAS, the HoteUMotel Tax is being established to promote tourism and over night
visitors to the community of the City of Canton, Illinois; and,
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF CANTON, Fulton County, Illinois, as follows:
1, That the foregoing recitals are hereby found to be fact.
2. That Title 3, Chapter 23 of the Canton Municipal Code is hereby established to read
as follows:
3-23-1: PURPOSE AND AUTHORIZATION: The purpose of this article is to generate
revenue to be placed in a fund to generate tourism through the promotion of lodging, restaurants,
attractions, conventions, expositions and theatrical, sport, cultural and other similar activities.
This tax is authorized by Section 8-3-14 of the Illinois Municipal Code (65 ILCS 5/8-3-14).
3-23-2: DEFINITIONS: All terms used in this article shall have the meanings as defined
in the Hotel Operators' Occupational Tax Act (35 ILCS 145/1 et. seq., as amended) and in the
Illinois Municipal Code (65 ILCS 5/8-3-14) as applicable, and the same shall be in force and
effect from time to time.
3-23-3: TAX IMPOSED: There is hereby levied and imposed a tax upon all persons
engaged within the city in the business of renting, leasing or letting rooms in a hotel, as defined
in the Hotel Operators' Occupation Tax Act, 35 ILCS 145/1, et seq., at the rate of five (5) percent
of the gross rental receipts from such renting, leasing or letting, said tax to be administered and
collected in accordance with the following sections.
3-23-4: EXEMPTIONS: This tax shall be imposed upon nor collected from any
permanent resident of any hotel. A permanent resident is defined as any man or woman who
occupies or has the right to occupy any room or rooms in a hotel for at least thirty (30)
consecutive days for his or her own personal use unrelated to the conducting of any business or
occupation.
3-23-5: COLLECTION AND PAYMENT OF TAX:
1. The ultimate incidents of and liability for payment of the tax levied herein is upon the
person engaged in the business of leasing, renting or letting such rooms. Such hotel owners
and operators may reimburse themselves for their tax liability for this tax by separately
stating such tax as an additional chazge to the lessee or renter, which chazge may be stated
in combination as a single amount, with the state tax imposed under "The Hotel Operator's
Occupation Tax" (as provided for in Pazagraph 481 b.31 et seq. of Chapter 120 of the
Illinois Revised Statutes, as amended).
2. Except as otherwise provided in this paragraph, on or before the last day of each calendaz
month, every person engaged in the business of renting, leasing or letting roams in a hotel
within the city during the preceding calendar month shall file a return with the treasurer, on
forms to be supplied by the treasurer, stating:
(a) The name of the operator and of the hotel;
(b) His residence address and the address of the principal place of business from
which he engages in the business of renting, leasing or letting rooms in a hotel in
the city;
(c) Total amount of rental receipts received by him during the preceding calendar
month from the renting, leasing or letting rooms during such preceding calendaz
month;
(d) Total amount of rental receipts received b3' him during the preceding calendaz
month from renting, leasing or letting rooms to permanent residents during the
preceding calendaz month;
(e) Total amount of other exclusions from gross rental receipts as allowed by this
article;
(f) Gross rental receipts which were received by him during the preceding calendaz
month and upon the basis of which the tax is imposed;
(g) The amount of tax due;
(h) The amount of penalty due, if any;
(i) Such other reasonable information as may from time to time be required by the
treasurer.
The person subject to tax shall also remit to the treasurer with the return the amount of
tax and penalties, if any, due as shown by such return along with a copy of the return
filed with the state for such period.
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3. Any person engaged in the business of renting, leasing or letting of hotel rooms shall
maintain complete and accurate books and records, including a daily sheet showing the
gross receipts for the hotel rentals for the day reported.
4. For the purposes of enforcing and administering this article, the treasurer or such agents as
are designated by the treasurer shall, after providing reasonable notice, have access during
normal business hours to the books and records of persons and businesses subject to this
article. The treasurer or such agents as are designated by the treasurer shall at least annually
inspect such books and records and shall file a written report of his or her findings with the
city council no later than April 1 of each year.
2-23-6: PENALTIES:
1. If the tax due pursuant this article is not paid on or before the due date of the return required
to be filed by the person responsible for the payment of the tax, such person shall, in
addition to the tax, be liable for a penalty equal to five (5) percent of the tax due for each
month or part thereof until such tax and penalty is paid in full. The penalty imposed hereby
shall be assessed and collected in the same manner as the tax imposed under this article.
2. Any person responsible for filing a tax return and paying tax pursuant to this section who
shall fail to file the required tax return on or before the due date thereof, whether or not the
tax is paid therewith, shall be liable for penalty in the amount of $10.00 per day for each
day that such tax return is late, and each day shall constitute a separate offense for purposes
hereof.
3-Z3-7: USE OF PROCEEDS FROM TAX: The city shall expend the tax collected
pursuant to this section solely to promote tourism and conventions within the city, and otherwise
to attract nonresident, overnight visitors to the city or such other purposes as may be authorized
by statue from time to time. No tax collected pursuant to this article shall be used to advertise
for or to otherwise promote new competition in the hotel business within the city.
3-23-8: VIOLATIONS: Any person violating the foregoing provisions of this article
shall, upon conviction, be subject to a fine of not less than $100.00 nor more than $500.00 for
each offense, except as otherwise expressly provided herein, and each day or part thereof upon
which such offense continues, shall constitute a separate offense hereunder.
3-Z3-9: LIEN IMPOSED: At any time after an assessment and demand for payment of
any tax interest and/or penalty due pursuant to this section is made against any person, the city
may file a notice of lien for said tax in the office of the recorder of deeds of the Fulton County,
or any other county in which the person responsible for the payment of tax resides or has
property and a lien shall attach to all property owned by such person in said county and shall
continue in effect for a period of seven years after filing and may be foreclosed in the manner of
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a judicial lien. The remedy of imposing a lien hereunder shall be in addition to all other remedies
available to the city to collect the tax, interest and penalty due, including civil actions.
3-23-10: PARTIAL INVALIDITY: In the event any term or provision of this article is
determined to be invalid or unenforceable by a court of competent jurisdiction, such invalid or
unenforceable provision shall not affect the validity of the remaining provisions of this article
and the provisions hereof declared to be severable.
3. That this Ordinance upon its passage by the City Council of the City of Canton,
Fulton County, Illinois, and approval by the Mayor. The Hotel/Motel operators shall
begin collections on November 1, 2003.
PASSED by the City Council of the City of Canton, Fulton County, Illinois at a regular meeting
this ~,~ day of weer , 2003, upon a roll call vote as follows:
AYES: Aldermen. Reed, Fillin.gham, Carl, Ham, Sarff, ~~1~'St, Molleck, Hartford,
NAYS: None,
ABSENT; None • Approved:
.~--~
Jerry M. Bohler, Mayor
Attest:
C
ancy Whites, 'ity Clerk