PRINTER'S NO. 1016
THE GENERAL ASSEMBLY OF PENNSYLVANIA
SENATE BILL
No.
721
Session of
2017
INTRODUCED BY RESCHENTHALER, FARNESE, ARGALL, BAKER, VOGEL,
TARTAGLIONE, YUDICHAK, McGARRIGLE, FONTANA, GORDNER, ALLOWAY,
KILLION, SCAVELLO, STEFANO AND WILLIAMS, JUNE 26, 2017
REFERRED TO COMMUNITY, ECONOMIC AND RECREATIONAL DEVELOPMENT,
JUNE 26, 2017
AN ACT
Amending Title 12 (Commerce and Trade) of the Pennsylvania
Consolidated Statutes, in economic development programs,
providing for tourism promotion, establishing the Tourism
Promotion Fund and imposing duties on the Department of
Community and Economic Development.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Title 12 of the Pennsylvania Consolidated
Statutes is amended by adding a chapter to read:
CHAPTER 43
TOURISM PROMOTION
Sec.
4301. Scope of chapter.
4302. Definitions.
4303. Hotel tax.
4304. Liability.
4305. Disclosure.
4306. Tourism Promotion Fund.
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4307. Rules and regulations.
§ 4301. Scope of chapter.
This chapter relates to the collection and remittance of a
hotel tax to be used for tourism promotion in this Commonwealth.
§ 4302. Definitions.
The following words and phrases when used in this chapter
shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Accommodation fee." The amount by which the rent exceeds
the discount room charge, if any.
"Consideration." Receipts, fees, charges, rentals, leases,
cash, credits, property of any kind or nature or other payment
received.
"Department." The Department of Community and Economic
Development of the Commonwealth.
"Discount room charge." The amount charged by an operator to
an intermediary in connection with the rental of an occupancy by
the intermediary.
"Fund." The Tourism Promotion Fund established under section
4306 (relating to Tourism Promotion Fund).
"Gratuity." An amount which is:
(1) paid or remitted for services performed in
conjunction with an occupancy; and
(2) in excess of the charges and the tax for the
occupancy, regardless of the method of billing or payment.
"Hotel."
(1) The term includes any of the following:
(i) A hotel, motel, inn, guest house or other
structure which holds itself out by any means, including
advertising, license, registration with an innkeepers'
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group, convention listing association, travel publication
or similar association or with a government agency, as
being available to provide overnight lodging or use of
facility space for consideration to persons seeking
temporary accommodation.
(ii) A place which advertises to the public at large
or any segment of the public that it will provide beds,
sanitary facilities or other space for a temporary period
to members of the public at large.
(iii) A place recognized as a hostelry.
(2) The term does not include any of the following:
(i) A portion of a facility that is devoted to
persons who have an established permanent residence.
(ii) A college or university student residence hall.
(iii) A charitable, an educational or a religious
summer camp for children.
(iv) A hospital or other institution having an
organized medical staff that is primarily engaged in
providing to inpatients, by or under the supervision of
physicians, diagnostic and therapeutic services or
rehabilitation services for the care or rehabilitation of
injured, pregnant, diseased or sick individuals or
individuals with physical or mental disabilities,
including a facility for the diagnosis and treatment of
disorders within the scope of specific medical
specialties.
(v) A nursing home, personal care home, domiciliary
care home, community residential facility, adult daily
living center, home health agency or home health service
provider whether licensed or unlicensed.
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"Intermediary." A person that facilitates the booking of an
occupancy. The term does not include an operator or a person
that is paid a commission by an operator.
"Occupancy." The use or possession or the right to the use
or possession by any person other than a permanent resident of
any room in a hotel for any purpose or the right to the use or
possession of the furnishings or to the services accompanying
the use and possession of the room.
"Occupant." An individual, other than a permanent resident,
who has booked an occupancy.
"Operator." An individual, partnership, nonprofit or profit-
making association or corporation or other person or group of
persons that maintains, operates, manages, owns, has custody of
or otherwise possesses the right to rent or lease overnight
accommodations in a hotel to the public for consideration.
"Permanent resident." An individual who has occupied or has
the right to occupancy of a room in a hotel for at least 30
consecutive days.
"Rent." The consideration received for an occupancy,
excluding a gratuity. The term includes:
(1) An amount charged by an intermediary to an occupant
and retained by the intermediary.
(2) An amount for which the occupant is liable for the
occupancy without a deduction from the amount.
"Room." A space in a hotel set aside for use and occupancy
by patrons, or otherwise, for consideration, having at least one
bed or other sleeping accommodation in a room or group of rooms.
"Tourism promotion." Activities and expenditures designed to
increase tourism, including, but not limited to, the following:
(1) Advertising, publicizing or otherwise distributing
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information for the purpose of attracting and welcoming
tourists.
(2) Developing strategies to expand tourism.
(3) Funding operations of tourism promotion agencies and
regional attractions marketing agencies.
(4) Funding marketing and operations of special events
and festivals designed to attract tourists.
§ 4303. Hotel tax.
(a) Collection.--An intermediary that facilitates the
booking of an occupancy shall collect from the occupant the
excise tax of 6% under section 210 of the act of March 4, 1971
(P.L.6, No.2), known as the Tax Reform Code of 1971, which is
imposed on the rent of the occupancy in this Commonwealth.
(b) Remittance.--The intermediary under subsection (a) shall
remit the tax to the Commonwealth as provided in this chapter.
§ 4304. Liability.
(a) Intermediary.--An intermediary shall be liable for the
tax required to be collected and remitted under this chapter.
(b) Operator.--An operator shall not be liable for tax owed
regarding an accommodation fee.
§ 4305. Disclosure.
An intermediary shall not be required to separately disclose
to an occupant the amount of the tax imposed that relates to a
discount room charge versus an accommodation fee.
§ 4306. Tourism Promotion Fund.
(a) Establishment.--The Tourism Promotion Fund is
established as a restricted account within the General Fund.
(b) Deposits.--The tax collected by intermediaries under
section 4303 (relating to hotel tax) shall be deposited into the
fund and disbursed as provided in subsection (c).
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(c) Appropriations.--Money from the fund shall be
appropriated by the General Assembly on a continuing basis to
the department for grants to achieve the purpose of tourism
promotion in this Commonwealth.
§ 4307. Rules and regulations.
The department shall promulgate guidelines, rules and
regulations as necessary to implement this chapter and achieve
the purpose of tourism promotion in this Commonwealth.
Section 2. This act shall take effect in 60 days.
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