This will become the highest occupancy tax in the state.
Skaneateles, NY, is proposing a new 5% room occupancy tax, which would be in addition to the 7% hotel tax imposed by Onondaga County. However, if this is passed, this will become the highest occupancy tax in the state.
The state Senate and Assembly have already approved the bill. But is waiting for the signature of Governor Kathy Hochul.
It is terrible for small businesses that rely on tourism, as it will reduce their margins. New York State Hospitality and Tourism Association opposes the tax and says it will collapse the small business in the state. As there are very few states, cities, and villages that charge this separate room occupancy.
Town and village officials in Skaneateles plan to use the extra tax revenue to improve parks and other community projects.
The following steps in implementing the tax include the opportunity for Skaneateles residents to comment on whether the tax should be imposed and the requirement for public hearings before a final vote. Residents and local businesses must stay informed about the tax’s implementation process.
In conclusion, this new proposed 5% room occupancy tax has some benefits but drawbacks as well. As it will provide additional revenue for community projects but will badly affect tourism and small businesses.
