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Room tax legislation heads to Evers' desk

A bill helping ensure local municipalities are receiving the correct amount of room tax revenue from short-term rental companies now awaits Governor Tony Evers approval. Authored by State  Rep. Joel Kitchens, the bill creates a level playing field for lodging marketplace businesses, and traditional hotels. In a press release from Kitchens, he credited legislation signed into law in the last few years with making it easier to obtain taxes from short-term rentals, but also added it has led to unintended problems. 


The release also says the bill makes it as easy as possible for lodging marketplaces to comply with the law and meet their room tax revenue obligations. The bill is supposed to provide a mechanism for municipalities to audit a lodging marketplace business if they suspect that the amount of money remitted is incorrect. Under this legislation, the Department of Revenue would have to create a form that asks for the following information:


  • Total sales for properties located in a municipality with a room tax
  • The total number of nights such properties were rented
  • The room tax rate and the total tax due


Also included on the department’s website would be the name of each municipality that imposes a room tax and the room tax rate. The legislation has passed the senate and is awaiting Governor Evers signature. 


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