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Hotel tax increase approved by county, begins April 1

by on February 07, 2019 9:01 AM

BELLEFONTE — The Centre County commissioners on Feb. 5 agreed to implement the increase in the hotel occupancy tax from 2.5 percent to 5 percent, which is the maximum allowed by the state. 

The county has been discussing the increase since late last year and after much discussion, as of April 1, hotel users will see an increase in their bill.

The tax brings the county in step with surrounding counties when it comes to the tax and keeps them towards the bottom of hotel tax percentage at Big Ten school communities. Where the county’s 2.5 percent tax was the lowest of all Big Ten school communities, the five percent tax will put them at the second lowest of the 14 schools.

The extra money generated from the tax will go toward increasing tourism in the area by the Central Pennsylvania Convention & Visitors Bureau.

CPCVB uses the revenue to directly promote local tourism and to provide grant funding to community-based nonprofits. Smith said that the increased tax revenue would allow the bureau to ramp up its marketing efforts and allocate a substantial portion of those funds to local nonprofit organizations that sponsor events and activities that would appeal to visitors, especially during off-peak times.

The tax ordinance was agreed upon unanimously by the county commissioners.

 

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