Senate paves way for higher local innkeepers tax
INDIANAPOLIS : Allen County’s lodging tax could go up this year under a bill passed 37-9 by the Indiana Senate today.
House Bill 1402 makes changes to innkeepers’ and food and beverage taxes in about a dozen counties, including Allen.
Sen. Jack Sandlin, R-Indianapolis, said local officials all around the state have thrown their support behind the bill. Cities, towns and counties can use the revenue for special projects.
In the past, the requests were sometimes done individually and rarely passed. So this time lawmakers combined them.
The local language would allow the Allen County Council to increase the innkeeper’s tax rate from 7 percent to 8 percent. The tax was imposed by state law before 1980 and last raised in 2007.
The legislation also increases the share of the revenue that must be granted to the convention and visitors bureau. The remaining portion is to cover debt obligations for Grand Wayne Center.