BILL ANALYSIS H.B. 4794 By: McReynolds Ways & Means Committee Report (Unamended) BACKGROUND AND PURPOSE H.B. 4794 prohibits a municipality with a population of more than 32,000 but less than 40,000 that is located in a county with a population of more than 80,000 and is home to a forestry museum featuring collections related to the forest industry from imposing a tax exceeding nine percent of the price paid for a room in a hotel. The bill provides that if such a tax rate, as applied, is greater than seven percent of the price paid for a hotel room, revenue generated from the tax shall be used for promotion of tourism in the municipality and for operation of a convention center in the municipality. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS H.B. 4794 amends the Tax Code to prohibit the municipal hotel occupancy tax rate from exceeding nine percent of the price paid for a room in a municipality with a population of more than 32,000 but less than 40,000 that is located in a county with a population of more than 80,000 and is home to a forestry museum featuring collections related to the forest industry. The bill requires such a municipality to use the amount of revenue from the tax that is derived from the application of the tax at a rate of more than seven percent only for the promotion of tourism and the operation of a convention center located in the municipality. EFFECTIVE DATE On passage, or, if the act does not receive the necessary vote, the act takes effect September 1, 2009.
BILL ANALYSIS
# BILL ANALYSIS
H.B. 4794
By: McReynolds
Ways & Means
Committee Report (Unamended)
H.B. 4794
By: McReynolds
Ways & Means
Committee Report (Unamended)
BACKGROUND AND PURPOSE H.B. 4794 prohibits a municipality with a population of more than 32,000 but less than 40,000 that is located in a county with a population of more than 80,000 and is home to a forestry museum featuring collections related to the forest industry from imposing a tax exceeding nine percent of the price paid for a room in a hotel. The bill provides that if such a tax rate, as applied, is greater than seven percent of the price paid for a hotel room, revenue generated from the tax shall be used for promotion of tourism in the municipality and for operation of a convention center in the municipality.
RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.
ANALYSIS H.B. 4794 amends the Tax Code to prohibit the municipal hotel occupancy tax rate from exceeding nine percent of the price paid for a room in a municipality with a population of more than 32,000 but less than 40,000 that is located in a county with a population of more than 80,000 and is home to a forestry museum featuring collections related to the forest industry. The bill requires such a municipality to use the amount of revenue from the tax that is derived from the application of the tax at a rate of more than seven percent only for the promotion of tourism and the operation of a convention center located in the municipality.
EFFECTIVE DATE On passage, or, if the act does not receive the necessary vote, the act takes effect September 1, 2009.
BACKGROUND AND PURPOSE
H.B. 4794 prohibits a municipality with a population of more than 32,000 but less than 40,000 that is located in a county with a population of more than 80,000 and is home to a forestry museum featuring collections related to the forest industry from imposing a tax exceeding nine percent of the price paid for a room in a hotel. The bill provides that if such a tax rate, as applied, is greater than seven percent of the price paid for a hotel room, revenue generated from the tax shall be used for promotion of tourism in the municipality and for operation of a convention center in the municipality.
RULEMAKING AUTHORITY
It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.
ANALYSIS
H.B. 4794 amends the Tax Code to prohibit the municipal hotel occupancy tax rate from exceeding nine percent of the price paid for a room in a municipality with a population of more than 32,000 but less than 40,000 that is located in a county with a population of more than 80,000 and is home to a forestry museum featuring collections related to the forest industry. The bill requires such a municipality to use the amount of revenue from the tax that is derived from the application of the tax at a rate of more than seven percent only for the promotion of tourism and the operation of a convention center located in the municipality.
EFFECTIVE DATE
On passage, or, if the act does not receive the necessary vote, the act takes effect September 1, 2009.