Title
Treasurer-Tax Collector's Office recommending the Board approve and authorize the Chair to sign a voluntary collection agreement with HomeAway, Inc., for the collection and remittance of Transient Occupancy Tax levied on lodging transactions within the unincorporated area of the County that are booked through its online platforms.
FUNDING: N/A
Body
DISCUSSION / BACKGROUND
All overnight stays in hotels, motels, inns, and vacation home rentals (VHRs) within the unincorporated area of the County are subject to a 10% Transient Occupancy Tax (TOT) and an additional tax in the amount of 4% for the unincorporated portion of the Tahoe Area of the County. It is the lodging establishment owner's responsibility to account for and remit TOT to the County. HomeAway offers TOT collection and remittance services to owners that use its online reservation and booking platform, if the local jurisdiction has entered into a voluntary collection agreement allowing HomeAway to provide the services. This service provides a convenience for owners and ensures that TOT is paid to the County on all bookings through HomeAway in a timely manner. There is no cost to the County for these services, and the County may terminate the agreement at any time upon thirty days notice to HomeAway, with no cost to the County.
ALTERNATIVES
The Board could choose not to approve the agreement. Individual owners would continue to be solely responsible for collecting and remitting TOT on transactions booked through HomeAway and its online platforms.
PRIOR BOARD ACTION
N/A
OTHER DEPARTMENT / AGENCY INVOLVEMENT
County Counsel, Treasurer-Tax Collector
CAO RECOMMENDATION / COMMENTS
Approve as recommended.
FINANCIAL IMPACT
There is no cost to the County associated with the agreement. The service provided by HomeAway provides a convenient way for VHR owners and managers to collect and remit TOT, which may increase compliance with TOT remittance and may result in an increase to County TOT revenues.
CLERK OF THE BOARD FOLLOW UP ACTIONS
Return a signed copy of the agreement to the Treasurer-Tax Collector Office.
STRATEGIC PLAN COMPONENT
N/A
CONTACT
Sean Coppola, Assistant Treasurer-Tax Collector