Thu December 20, 2012
KC Convention Tax Proposal Advances
Kansas Citians are likely to vote in April on closing a loophole in a local tax – but one few Kansas City residents ever pay.
For most people who spend a night in a Kansas City, Missouri hotel, there is a 7 ½ percent convention tax. Everyone pays the tax except lodgers affiliated with the federal government or non-profit organizations.
The city council wants to end that exemption.
The convention and visitors association says that would bring in another million dollars a year to promote conventions and tourism.
And council finance chair Jan Marcason notes that other Missouri cities, including Branson and Springfield, do collect the tax on nonprofits and have those funds available to promote their cities.
Convention facilities Director Oscar McGaskey told the finance committee that ending the exemption would also bring in another $2 million for improvement and maintenance of facilities.
The committee advanced the proposal to the full council will vote on January 10th. Voters would make the final decision in an April 2 election.