Statewide lodging tax.

2018
STATE OF WYOMING
18LSO-0474
Numbered
1.6

HOUSE BILL

NO.
HB0174

Statewide lodging tax.

Sponsored by:
Management Council

A BILL

for

AN ACT relating to sales tax; imposing a statewide tax on sales of lodging services; providing for distribution of the tax; revising the local optional lodging tax; creating the Wyoming tourism account; and providing for effective dates.

Be It Enacted by the Legislature of the State of Wyoming:

Section 1
.

W.S. 39
‑
15
‑
104 b
y creating a new subsection (h)
,
39
‑
15
‑
111(b)(intro) and
by creating a new subsection (p),
39
‑
15
‑
204(a)(ii)

and 39
‑
15
‑
211(a)(ii)(B)(
III)(
intro), (D) and (E)
are amended to read:

39
‑
15
‑
104
.

Taxation rate.

(h)

In addition to the sales tax under subsections (a) and (b) of this section ther
e is imposed a
tax upon the sale of
lodging
services
of four percent (4
%)
.

The revenue from the four percent (4
%) lodging tax shall be distributed as provided in W.S. 39
‑
15
‑
111(p).

39
‑
15
‑
111
.

Distribution.

(b)

Revenues earned under W.S. 39
‑
15
‑
104 during each fiscal year shall be recognized as revenue during that fiscal year for accounting purposes.
Except as otherwise provided in subsection (p)
of this section
, f
or all revenue collected by the department under W.S. 39
‑
15
‑
104 the department shall:

(p)

A
ll revenue collected
by the department under W.S. 39
‑
15
‑
104(h)
shall
be
distribute
d
as follows:

(i
)

The department shall credit fifty percent (50%) to the Wyoming tourism account, which is hereby created. No funds shall be expended from the account unless and until the legislature appropriates the funds. Funds within the account shall be used as determined by the legislature for the operation of the Wyoming tourism board and the Wyoming office of tourism. Not later than October 1 of each even
‑
numbered year the state treasurer shall determine whether funds in the account exceed one hundred fifteen percent (115%) of the most recent
cumulative
biennial appropriation
s
to the tourism board and the Wyoming office of tourism. Any funds
in the account
in excess of
one hundred fifteen percent (115%) of
that amount
shall be transferred into the general fund not later than October 1 of each even
‑
numbered year;

(ii)

Fifty percent (50%)
shall be distributed
on a monthly basis
in proportionate shares to each county in relation to the county's share
,

including all municipalities in that county
,

of the entire tax collected under W.S. 39
‑
15
‑
104(h) to be distributed as follows:

(A)

If the county imposes a countywide lodging tax under W.S. 39
‑
15
‑
204(a)(ii), the revenue shall be distributed in the same manner as taxes collected under that paragraph are distributed pursuant to W.S. 39
‑
15
‑
211(a)(ii)(B) through (E);

(B)

If the county has not imposed a countywide lodging tax under W.S. 39
‑
15
‑
204(a)(ii), the revenue shall be distributed as follows:

(I)

If no city or town in the county has imposed a lodging tax under W.S. 39
‑
15
‑
204(a)(ii), the revenue shall be distributed to the county to be expended as determined by the county board of commissioners to promote travel and tourism in the county as provided in W.S. 39
‑
15
‑
211(a)(ii)(B)(I);

(II)

If any city or town in the county has imposed a lodging tax under W.S. 39
‑
15
‑
204(a)(ii), revenue equal to the amount of the tax imposed by the city or town
s
hall be distributed to the city or town to be used as provided in W.S. 39
‑
15
‑
211(a)(ii)(B) through (E). The
remainder shall be distributed to the county to be expended as determined by the county board of commissioners to promote travel and tourism in the county as provided in W.S. 39
‑
15
‑
211(a)(ii)(B)(I).

39
‑
15
‑
204
.

Taxation rate.

(a)

In addition to the state tax imposed under W.S. 39
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15
‑
101 through 39
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‑
111 any county of the state may impose the following excise taxes and any city or town may impose the tax authorized by paragraph (ii) of this subsection and any resort district may impose the tax authorized by paragraph (v) of this subsection:

(ii)

An excise tax at a rate in increments of one percent (1%) not to exceed a rate of
four percent (4%)

two percent (2%)
upon the sales price paid for lodging services as defined under W.S. 39
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15
‑
101(a)(i), the primary purpose of which is for local travel and tourism promotion;

39
‑
15
‑
211
.

Distribution.

(a)

For all revenue collected by the department from the taxes imposed under W.S. 39
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15
‑
204(a)(i), (ii), (v) and (vi) the department shall:

(ii)

For revenues collected under W.S. 39
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15
‑
204(a)(ii):

(B)

Except as provided in subparagraph (a)(ii)(C) of this section, distribute the balance
on a monthly basis
to the treasurer of each county, city or town imposing the tax in an amount equal to the amount collected in each entity less the costs of collection as provided by subparagraph (a)(ii)(A) of this section. Amounts distributed under this subparagraph shall be used for the following purposes:

(III)

If the conditions specified in
subparagraphs
subparagraph

(D)
through (G)
or (E)
of this paragraph are met, the amount collected less the cost of collection as provided by subparagraph (a)(ii)(A) of this section shall be distributed as follows:

(D)

Beginning July 1, 1999, and adjusted annually for the percentage increase in the Wyoming cost
‑
of
‑
living index for the previous fiscal year as determined by the division of economic analysis of the department of administration and information, when lodging tax revenues
including revenues distributed under W.S. 39
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15
‑
11
1(p)(ii)
collected for each of the preceding three (3) fiscal years exceed
five hundred thousand dollars ($500,000.00)
one million five hundred thousand dollars ($1,500,000.00)
, or if no lodging tax was imposed in any of the three (3) preceding fiscal years but, based upon sales tax collection records provided by the department of revenue, it can reasonably be presumed that at least
five hundred thousand dollars ($500,000.00)
one million five hundred thousand dollars ($1,500,000.00)
in lodging tax may be collected annually in each county, city or town imposing a lodging tax at
not more than

one percent (1%), the amount collected shall be distributed as provided in subdivision (a)(ii)(B)(III) of this section;

(E)

Beginning July 1, 1999, and adjusted annually for the percentage increase in the Wyoming
cost
‑
of
‑
living index for the previous fiscal year as determined by the division of economic analysis of the department of administration and information, when lodging tax revenues
including revenues distributed under W.S. 39
‑
15
‑
111(p)(ii)
collected for each of the preceding three (3) fiscal years exceed
one million dollars ($1,000,000.00)
two million dollars ($2,000,000.00)
, or if no lodging tax was imposed in any of the three (3) preceding fiscal years but, based upon sales tax collection records provided by the department of revenue, it can reasonably be presumed that at least
one million dollars ($1,000,000.00)
two million dollars ($2,000,000.00)
in lodging tax may be collected annually in each county, city or town imposing a lodging tax at
more than one percent (1%) but not more than
two percent (2%), the amount collected shall be distributed as provided in subdivision (a)(ii)(B)(III) of this section;

Section 2
.

W.S. 39
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15
‑
211(a)(ii)(F) and (G) is repealed.

Section 3
.

If any city, town or county has in place a lodging tax pursuant to W.S. 39
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15
‑
204(a)(ii) at a rate
higher than two percent (2%) as of July 1, 2018, that rate shall continue until the next general election at which the tax is considered as provided in W.S. 39
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203(a)(ii)(D). No lodging tax imposed under W.S. 39
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‑
204(a)(ii) shall be continued pursuant to W.S. 39
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203(a)(ii)(D)
in excess of
two percent (2%) at the 2018 general election. No lodging tax shall be initially imposed pursuant to W.S. 39
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‑
204(a)(ii)
in excess of
two percent (2%) a
t
the 2018 general election. The proposition to continue any lodging tax under W.S. 39
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15
‑
204(a)(ii)
in excess of
two percent (2%) at the 2018 general election shall be presented on the ballot as "for or against the [county, city or town] two percent (2%) lodging tax."

Section 4
.

(a)

Section 3 of this act is effective July 1, 2018.

(b)

Except as otherwise provided in subsection (a) of this section, this act is effective January 1, 2019.

(END)

1
HB0174