§ 40-57.3-01.1 — City lodging and restaurant tax - Imposition - Amount - Disposition - Referral

North Dakota § 40-57.3-01.1

• Jurisdiction: North Dakota
• Title 40: Municipal Government
• Ch. 40-57.3: City Lodging Tax

Text

Referral.
In addition to the tax under section 40-57.3-01, the governing body of any city, by ordinance,
may impose a city tax, at a rate not to exceed one percent, upon the gross receipts of retailers
on the leasing or renting of hotel, motel, or other accommodations within the city for periods of
fewer than thirty consecutive calendar days or one month and upon the gross receipts of a
restaurant from any sales of prepared food or beverages, not including alcoholic beverages for
consumption off the premises where purchased, which are subject to state sales taxes. For
purposes of this section, "restaurant" means any place where food is prepared and intended for
individual portion service for consumption on or off the premises and "prepared" includes
heating prepackaged food. Accommodations, food, and beverages may all, each, or in any
combination be subject to the tax under this section, if all items in any category which are
taxable under state law are taxable, except as otherwise provided in this section. The tax
imposed under this section is in addition to state sales taxes on rental accommodations and
restaurant sales and any city that imposes the tax under this section shall deposit all proceeds
in the city visitors' promotion capital construction fund. Moneys deposited in the city visitors'
promotion capital construction fund must be spent only as provided in this chapter. An ordinance
adopted under this section may not become effective sooner than sixty days after it is adopted
by the governing body of the city. The provisions of chapter 40-12 with regard to referral of
ordinances apply to an ordinance adopted under this section except that a petition to refer an
ordinance adopted under this section must be presented to the governing body of the
municipality before four p.m. on the sixty-fourth day after the ordinance described in the petition
was adopted by the governing body of the municipality. Revenues from a tax imposed under this
section may not be pledged under section 40-57.3-03 to payment of bonds or evidences of
indebtedness until after the time has passed for filing a referral petition against an ordinance
under this section or, if a referral petition is filed, until after the referral petition has been
submitted to the vote of the electors of the municipality.