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Legislative Alert
HOTEL TAX INCREASES!
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FEBRUARY 20, 2009 - Please call members of the Planning and Development Committee and tell them that you oppose raised Senate Bill 89 - An Act Concerning a Local Option for a Hotel Tax, and House Bills 5187 - An Act Concerning An Increase in the Sales and Use Tax on Hotels and Lodging Houses, HB 5189 An Act Concerning a Local Option to Impose a Lodging Tax and HB 5524 An Act Authorizing Municipalities To Impose a Tax On Hotels and Motels.
Members of the Planning & Development Committee:
Co-Chairpersons:
Senator Eric Coleman, Bloomfield, Hartford, Windsor
Room 2100, LOB
860-240-5302
Eric.Coleman@cga.ct.gov
Representative Brendan Sharkey, Hamden
Room 2103, LOB
860-240-8585
Brendan.Sharkey@cga.ct.gov
To view all members of the Planning & Development Committee, visit:
http://www.cga.ct.gov/asp/menu/MemberList.asp?comm_code=PD&doc_type
Tell the Committee that Connecticut hotels are reeling from the effects of today’s economy and that the unfortunate story is that long term employees are being let go or moved to part time positions, and that positions are being eliminated, while hotel operators struggle to hang on to what valuable employees they can.
The American Hotel and Lodging Association reports that the imposition of a tax of 1% means a reduction in hotel revenue of 2%. Connecticut has one of the highest occupancy taxes already.
State and Local Taxes on Lodging in New England
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Total state taxes on lodging (minimum) |
Total available local option taxes |
Total state and local taxes on hotels (maximum) |
Connecticut |
12.00% |
0.00% |
12.00% |
Maine |
7.00% |
0.00% |
7.00% |
Massachusetts |
5.70% |
4.00% |
9.70% |
New Hampshire |
8.00% |
0.00% |
8.00% |
Rhode Island |
12.00% |
0.00% |
12.00% |
Vermont |
9.00% |
1.00% |
10.00% |
New England Average |
8.95% |
0.83% |
9.78% |
Today’s fragile hotel economy would be placed at greater risk by the enactment of a tax increase. Small and large lodging properties could be devastated. It is the wrong time to increase a tax on hotels.
Also, the idea of proposed legislation that provides a local option for taxation would set one community against another. A hotel on the border of a taxing town may be advantaged or disadvantaged by virtue of a decision of the town council. It would make hotel operators disinclined to locate or continue operations in a disadvantaged situation. It would potentially have long term consequences for the communities most in need.
Don’t increase the tax on an industry that bears it’s full share of tax burden and contributes over $80 million in tax revenue to the general fund.
We are passing along the following Film Industry alert sent to us by the Greater Hew Haven Convention and Visitors Bureau.
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SAVE CT'S FILM & DIGITAL MEDIA INDUSTRY! CRITICAL PUBLIC HEARING THIS MONDAY, FEB. 23
Your attendance at this event is strongly urged. This is THE public hearing on whether the tax credit will be eliminated or not. Connecticut Production Coalition (CPC) urgently needs you to attend this meeting because if the tax credit goes away, the production industry will go away with it.
Meet promptly at 11:30am in Room 2E of the Legislative Office Building in Hartford.
Event Details:
Date: Monday, February 23, 2009
Time: 11:30am
Location: Legislative Office Building - Room 2E, 300 Capitol Avenue, Hartford, CT 06106
Visit the Connecticut Production Coalition for more information or to sign up to join.
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