Expedited Bill No. _ _
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Concerning: Taxation - Room Rental and
Transient Tax - Definitions
Revised: March
2. 2016
Draft No.
4
Introduced:
March
15. 2016
Enacted:
April
12. 2016
Executive: _ _ _ _ _ _ _ _ __
Effective: _ _ _ _ _ _ _ _ __
Sunset Date:
~No~n~e~------
Ch. _ _ , Laws of Mont. Co. _ _ __
COUNTY COUNCIL
FOR MONTGOMERY COUNTY, MARYLAND
Lead Sponsor: Council President at the request of the County Executive
AN EXPEDITED ACT
to:
clarify the definition of broker to include entities that facilitate or arrange payment
(1)
of room rental for sleeping accommodations;
clarify that service fees or broker fees charged by brokers or other entities for
(2)
sleeping accommodations are within the definition of room rental for purposes of
calculation of the tax; and
generally amend the room rental and transient tax.
(3)
By amending
Montgomery County Code
Chapter 52, Taxation
Section 52-16
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Heading or defined term.
Added to existing law by original bill.
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Added by amendment.
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Existing law unaffected by bill.
amendment.
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The County Council for Montgomery County, Maryland approves the following Act:
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EXPEDITED BILL
No. 6-16
1
Sec.
1.
Section 52-16 is amended as follows:
52-16. Room rental and transient tax
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(b)
following meanings:
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The following words and phrases, when used in this Section, have the
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[Transient: An individual who, for any period of 30 or fewer consecutive
days, actually occupies a sleeping accommodation.]
Broker[:
A]
means~
person, other than the owner or operator of a hotel
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or motel, that receives, facilitates or arranges payment, directly,
indirectly, or through an online platform, for hotel or motel
accommodations from a transient who is subject to the tax under
subsection (a).
Director
means the Director of Finance or the Director's designee.
Hotel or motel
means[: (1) Any] any hotel, inn, hostelry, tourist home or
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house, motel, apartment hotel, rooming house, dwelling unit or other
lodging place that offers for compensation sleeping accommodations in
the County. [(2)] A hotel or motel does not include:
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[(A)] a hospital, medical clinic, nursing home, rest home,
convalescent home, assisted living facility, or home for elderly
individuals; or
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[(B)] a facility owned or leased by an organization that is exempt
from taxation under section 501(c)(3) of the Internal Revenue
Code if the primary use of the facility is other than housing
overnight guests.
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Hotelkeeper[:
A]
means~
person that:
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( 1)
(2)
owns or operates a hotel or motel; or
acts as a broker.
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EXPEDITED BILL
No. 6-16
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Room rental[:
The] means the total charge required to be paid by a
transient for a sleeping accommodation.
Room rental includes any
service fee, broker's fee, or other charge or fee required to be paid by the
transient regardless of what the charge is called or how the charge is
designated.
Room rental does not include any optional charge for
services in addition to the charge for use of sleeping space,,, such as Wi-
Fi access, food, beverage, movie rental, or fitness center access. The
portion of the total charge, if any, that represents
f!
charge other than room
rental must be separately billed.
Transient
means an individual who, for any period of 30 or fewer
consecutive days, actually occupies
f!
sleeping accommodation.
[Director: Director of Finance or the Director's designee.]
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Sec. 2. Expedited Effective Date:
The Council declares that this legislation is
necessary for the immediate protection of the public interest. This Act takes effect on
the date on which it becomes law.
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EXPEDITED BILL
No. 6-16
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Nancy Floreen, P esident, County Council
Approved:
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Approved:
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Isiah Leggett, County Executive
Date
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This is a correct copy ofCouncil action.
Linda M. Lauer, Clerk of the Council
Date
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