(a) For the purpose of providing revenue with which to meet the needs of the City of Vermilion for the use in the General Fund of the City an excise tax is hereby levied on transactions by which lodging by a hotel/motel or transient accommodation is or is to be furnished to transient guests.
(b) The tax is three percent (3%) on all rents paid or to be paid by the transient guest for the lodging. Said tax constitutes a debt owed by the transient guest to the City of Vermilion, which is extinguished only by payment to the operator as trustee for the City. The transient guest shall pay the tax to the operator at the time the lodging is furnished regardless of the time when the rent is paid. If the rent is paid in installments, a proportionate share of the tax shall be paid with each installment. The unpaid tax shall be due upon the transient guest ceasing to occupy space. The operator shall collect from the transient guest the full and exact amount of the tax payable on each taxable lodging. The operator shall deposit all funds collected under this section into a separate account as trustee for the City of Vermilion separate from all other funds of the operator.
(c) For the administration of this Chapter, and to prevent evasion of the tax, it is presumed that all lodging furnished by operators to transient guests is subject to the tax until the contrary is established.
(Ord. 2019-7. Passed 2-25-19.)