Hotels in some border counties could start paying a county hotel tax
What it does
The bill would let the commissioners court of a county that borders Mexico and includes part of the West Nueces River impose a county hotel occupancy tax. A hotel in that county that is already taxed by its city would not be charged the new county tax. The bill would also repeal an existing Tax Code section, and its caption ties that repeal to how certain cities use hotel tax money. It takes effect right away if it gets a two-thirds vote in each house, and otherwise on September 1, 2027.
What it means for your community
Hotels in the border counties this bill covers could pass the cost of the new county tax to guests as higher room rates, unless the city already collects a hotel tax on that hotel. Cities keep their own hotel tax money, and the county would collect on top of it. Only hotel tax revenue collected on or after the effective date would be affected.
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