HB 1946 Summary

• Repeals and re-enacts section 94.270, RSMo, which grants mayors and boards of aldermen authority to levy and collect license taxes on various businesses and professions.

• Establishes a $27 per room per year maximum license fee on hotels and motels in fourth-class cities with 800-900 inhabitants located in charter counties with more than 1 million inhabitants.

• Establishes a $13.50 per room per year maximum license fee on hotels and motels in fourth-class cities with 4,100-4,200 inhabitants located in charter counties with more than 1 million inhabitants.

• Limits hotel and motel license fees to $1,000 per year for fourth-class cities with 51,300-51,400 inhabitants (or 51,000-52,000 inhabitants) located in charter counties with 280,000-285,000 inhabitants, effective January 1, 2006.

• Allows affected cities to increase hotel and motel license taxes by up to 5 percent annually, capped at one-eighth of one percent of gross revenue or the business license tax rate from May 1, 2005, whichever is greater.