Tennessee wants to tax complimentary hotel breakfast

INNspiring.com | Innkeeper Forum & Innkeeping Resources

Help Support INNspiring.com | Innkeeper Forum & Innkeeping Resources:

JBloggs

Moderator
Moderator
Joined
Oct 7, 2008
Messages
17,743
Reaction score
0
Tennessee wants to tax complimentary hotel breakfast[/h1]See article here
Just how important is breakfast? Nutritionists say it's the most important meal of the day - the Tennessee government says breakfast is the most revenue-generating meal of the day. Seems some local politicians are looking to tax the free breakfasts offered to guests get at Tennesseehotels.New tax legislation currently in committee in Tennessee proposes a tax on the complimentary breakfast served at most hotels in the state. The rationale? Those in favor of the bill say it could raise as much as 2 million dollars in revenues. However, officials are quick to point out the new tax wouldn't necessarily impact the hotel guest. The tax would be paid for by the hotel, unless the hotel decides to pass on the cost to their customers. What are the chances the bill becomes reality? We'll wait and see, and in the meantime we suggest you stock up on the free rolls and danishes.
(They already do this here in this little town I am in, and I have fought it each and every month after paying it for the first 4 years. I now pay 1 cent for every guest and fill out the meals tax form each month. The town attorney is still looking into it. I told them "Guests are offered coffee, offered afternoon refreshments, offered complimentary breakfasts, whether they eat them or not is up to them.")
 

Copperhead

Well-known member
Joined
Jun 24, 2008
Messages
5,968
Reaction score
0
Really!!! Now they are taxing FREE!!! What is this country coming to??? Do not answer, as this could get too political here.
But on this issue, which was really not explained well in the article, (thank JB for clarifying) if the hotel, or B&B, pays the tax then most likely they will raise their rates to cover it, or the hotels will stop the free breakfast.
 

Innkeep

Well-known member
Joined
Jun 4, 2008
Messages
1,271
Reaction score
3
This is just goofy..
Tennessee also has what they call a professional privelege tax. In addition to paying the licensing fees to the medical licensing board, I had to pay the state $400 for the privilege of holding a Tennessee medical license. They also dinged realtors, accountants,and the like, and this year they realized that they had an untapped source so they are also now using the same tax to get the professional athletes!
 

YellowSocks

Well-known member
Supporting Member
Joined
May 22, 2008
Messages
2,179
Reaction score
13
Technically, Ohio already has this tax. If people eat at my establishment, then they pay tax on their food. (If it's to go, then no tax.) So, even though the breakfast is complimentary, I charge my guests tax on the cost of their breakfast. Basically, every guest gets charge $0.37 per person, per night for food, whether they eat it or not.
Ohio is great otherwise, so I'm really not complaining...
=)
Kk.
 

Samster

Well-known member
Joined
May 30, 2008
Messages
6,475
Reaction score
14
Location
South Carolina
This is just goofy..
Tennessee also has what they call a professional privelege tax. In addition to paying the licensing fees to the medical licensing board, I had to pay the state $400 for the privilege of holding a Tennessee medical license. They also dinged realtors, accountants,and the like, and this year they realized that they had an untapped source so they are also now using the same tax to get the professional athletes!
.
They have that "Professional business license fee" here too for professionals that own their own business. It's higher than a regular business license. They're goofy here too.
 
Top