[Amended 6-13-2023 by Ord. No. 2023-02]
For the purpose of this article, the following words and phrases
shall have the meanings respectively ascribed to them by this section:
Any room or rooms, lodgings, accommodations, or space available
within the County in exchange for compensation as lodging for continuous
occupancy for fewer than 30 consecutive days, including any public
or private hotel, inn, apartment hotel, hostelry, tourist camp, tourist
cabin, tourist home or house, camping grounds, club, motel, rooming
house, or short-term rental. Accommodations do not include rooms or
space offered by a person in the business of providing conference
rooms, meeting space, or event space if the person does not also offer
rooms available for overnight sleeping.
The room charge less the discount room charge, if any, provided
that the accommodations fee must not be less than $0.
Any person other than an accommodations provider that: i)
facilitates the sale of an accommodation and ii) either a) charges
a room charge to the customer, and charges an accommodations fee to
the customer, which fee it retains as compensation for facilitating
the sale; b) collects a room charge from the customer; or c) charges
a fee, other than an accommodations fee, to the customer, which fee
it retains as compensation for facilitating the sale. For purposes
of this definition, "facilitates the sale" includes brokering, coordinating,
or in any other way arranging for the purchase of the right to use
accommodations via a transaction directly, including via one or more
payment processors, between a customer and an accommodations provider.
Accommodations intermediary does not include a person:
If the accommodations are provided by an accommodations provider
operating under a trademark, trade name, or service mark belonging
to such person; or
Who facilitates the sale of an accommodation if:
The price paid by the customer to such person is equal to the
price paid by such person to the accommodations provider for the use
of the accommodations; and
The only compensation received by such person for facilitating
the sale of the accommodation is a commission paid from the accommodations
provider to such person; or
Who is licensed as a real estate licensee pursuant to Article
1 (§ 54.1-2100 et seq.) of Chapter 21 of Title 54.1 of the
Code of Virginia, when acting within the scope of such license.
Any person that furnishes accommodations to the general public
for compensation. The term "furnishes" includes the sale of use or
possession or the sale of the right to use or possess.
The Commissioner of the Revenue of the County or any of their
duly authorized deputies or agents.
The full amount charged by the accommodations provider to
the accommodations intermediary, or an affiliate thereof, for furnishing
accommodations.
A sale to any person for any purpose other than for resale.
The full retail price charged for accommodations, including
any accommodations fee or any other charge, before taxes.
The County Treasurer of the County or any of their duly authorized
deputies or agents.
Pursuant to Code of Virginia, § 58.1-3819, there is
hereby imposed and levied a tax equivalent to 5% of the room charge
paid for the use or possession of accommodations in the County. The
tax imposed by this article shall not apply to accommodations within
any town that has imposed a transient occupancy tax.
No tax shall be payable hereunder on room or space rental paid
to any hospital, medical clinic, convalescent home, or home for the
aged.
A.
For retail sales not involving an accommodations intermediary:
(1)
The accommodations provider shall collect and be liable for the tax
computed on the total room charge.
(2)
The accommodations provider shall separately state the amount of
the tax in the bill, invoice, or similar documentation and shall add
the tax to the total price paid for the accommodations.
B.
For retail sales involving an accommodations intermediary:
(1)
The accommodations intermediary shall collect and be liable for the
tax computed on the total room charge.
(2)
The accommodations intermediary shall separately state the amount
of the tax on the bill, invoice, or similar documentation and shall
add the tax to the room charge. Thereafter, such tax shall be a debt
from the customer to the accommodations intermediary recoverable at
law in the same manner as other debts.
C.
For any retail sale of accommodations involving two or more accommodations
intermediaries, such parties may make an agreement regarding which
party shall be responsible for collecting and remitting the tax, so
long as the party so responsible is registered with the County for
purposes of remitting the tax. In such event, the party that agrees
to collect and remit the tax shall be the sole party liable for the
tax, and the other parties to such agreement shall not be liable.
D.
All transient occupancy tax collections shall be deemed to be held
in trust for the County.
A.
Accommodations providers and accommodations intermediaries must remit
payment to the Treasurer, and a return to the Commissioner setting
forth such information as the Commissioner may prescribe and require,
including the gross receipts, any allowable discounts, deductions,
or exemptions, and the rate applied to the resultant net receipts,
and, where applicable, the number of room nights and the room tax
rate applied, and the total amount of room tax due. Returns and remittances
must be made on or before the 20th day of the month and cover the
amount of tax collected during the preceding month.
B.
In addition to the returns and remittances of the preceding subsection,
each accommodations intermediary must submit to the Commissioner the
property addresses and gross receipts for all accommodations facilitated
by the accommodations intermediary in Shenandoah County on a monthly
basis.
If any remittance is not paid when due, a penalty of 10% shall
be added for the first month the taxes are past due, and 5% for each
month thereafter, up to a maximum of 25% of the taxes collected but
not remitted or $10, whichever is greater. In no event, however, shall
the penalty exceed the amount of the tax. Any such penalty shall become
a part of the tax. Interest on unpaid taxes shall accrue at a rate
of 10% per year.
If any accommodations provider or accommodations intermediary fails to comply with § 146-42, or if the Commissioner has reasonable cause to believe that an erroneous statement has been filed, the Commissioner may proceed to investigate and take testimony and other evidence necessary to determine the amount due the County.
If an accommodations provider or accommodations intermediary
ceases operation or otherwise disposes of the business, any tax payable
under the provisions of this article shall become immediately due
and payable, and such person must immediately make a report and pay
the tax due.
The Commissioner will ascertain the name of every person in
the County responsible for the collection of the tax levied by this
article. The Commissioner is authorized to adopt rules and regulations
not inconsistent with the provisions of this article and the Code
of Virginia for the purpose of carrying out and enforcing the payment,
collection, and remittance of the tax herein levied, and a copy of
such rules and regulations will be on file and available for public
examination in the Commissioner's office. Failure or refusal
to comply with any such rules and regulations constitutes a violation
of this article.
Willful failure or refusal to file a tax return at the times
required by this article or making false statements with intent to
defraud in such returns shall be punishable as: 1) a Class 3 misdemeanor
if the amount of the tax lawfully assessed in connection with the
return is $1,000 or less; or 2) a Class 1 misdemeanor if the amount
of the tax lawfully assessed in connection with the return is more
than $1,000. Each such failure or refusal will constitute a separate
offense. Such conviction shall not relieve any such person from the
payment, collection, or remittance of taxes, penalties, and interest
imposed by or provided for in this article.
Pursuant to Code of Virginia, § 58.1-3819, the tax
revenue collected pursuant to this article shall be designated and
spent as follows, as may be applicable:
A.
Revenue equal to a 2% tax rate and excess revenue from a rate over
5% shall be unrestricted and used by the county as general revenues.
B.
Excess revenue from a tax rate over 2% but not exceeding 5% shall
be designated and spent solely for tourism and travel, marketing of
tourism, or initiatives that, as determined after consultation with
the local tourism industry organizations, including representatives
of lodging properties located in the county, attract travelers to
the county, increase occupancy at lodging properties, and generate
tourism revenues in the county.
