County, motel reach deal over unpaid taxes

Published 12:00 am Tuesday, December 1, 2009

By Jessie Burchette
The county has reached a settlement agreement with the owner of a Salisbury motel that collected occupancy taxes for a year but didn’t turn them over to the county.
Salisbury Hospitality, Inc., the owner of Travelodge, has agreed to pay $15,031 in occupancy taxes and $4,940 in penalties.
Travelodge, at 1328 S. Jake Alexander Blvd., is the former Ramada Inn. The facility changed ownership in mid-2007.
According to the agreement negotiated by County Attorney Jay Dees and approved by county commissioners Monday night, Salisbury Hospitality paid $2,000 on Feb. 15 and will make monthly payments of $1,677 until the total amount due is paid in full.
Salisbury Hospitality collected the 3 percent room tax from Oct. 2007 through Oct. 2008, but did not remit the money to the county.
The money goes to the Rowan Tourism Development Authority, which provides tourism marketing for the county and operates the Visitors Center on East Innes Street.
The Tourism Development board has pushed for county action to collect the money.
During the meeting late last year, the board rejected any settlement that reduced the total due. Board members agreed that a hotel owner shouldn’t get a break for failing to follow the law that other hotel and motel owners comply with.
Salisbury Hospitality has also agreed to stay current on turning over the monthly occupancy tax collections.
Contact Jessie Burchette at 704-797-4254.