(A) Purpose. The purpose of this section is to provide additional revenue for the municipality by imposing a municipal gross receipts tax pursuant to the powers granted to the municipality by the state, by SDCL § 10-52A, and acts amendatory thereto.
(B) Effective date and enactment of tax.
(1) From and after January 1, 2004, there is hereby imposed a municipal gross receipts tax of 1% upon the gross receipts from the sale of leases or rentals of hotels, motels, campsites, or other lodging accommodations within the municipality for periods less than 28 consecutive days, the sale of ALCOHOLIC BEVERAGES, as defined in SDCL § 35-1-1, establishments where the public is invited to eat, dine, or purchase and carry out prepared food for immediate consumption, and ticket sales or admissions to places of amusement, athletic, or cultural events.
(2) The tax applies to the gross receipts of all persons engaged in business within the jurisdiction of the municipality, who are subject to the State Retail Occupational Sales and Service Tax, SDCL § 10-45, and acts amendatory thereto.
(C) Collection. Such tax is levied pursuant to authorization granted by SDCL § 10-52A, and acts amendatory thereto, and shall be collected by the State Department of Revenue and Regulation in accordance with the same rules and regulations applicable to the state sales tax, and under such additional rules and regulations as the Secretary of Revenue of the state shall lawfully prescribe.
(D) Interpretation. It is declared to be the intention of this section, and the taxes levied hereunder, that the same shall be interpreted and construed in the same manner as all sections of the State Retail and Occupational Sales and Service Tax Act, SDCL § 10-45, and acts amendatory thereto, and that this shall be considered a similar tax except for the rate to that tax.
(E) Use of revenue. Any revenues received under this section may be used only for the purposes of land acquisition, architectural fees, construction costs, payment for civic center, auditoriums, or athletic facility buildings, including the maintenance, staffing, and operations of such facilities, and the promotion and advertising of the municipality, its facilities, attractions, and activities.
(F) Violation. Any person failing or refusing to make reports or payments prescribed by this section, and the rules and regulations relating to the ascertainment and collection of the tax hereunder, shall be guilty of a violation of this section. In addition, all collection remedies authorized by SDCL § 10-25, and acts amendatory thereto, are authorized for the collection of these excise taxes by the Department of Revenue and Regulation.
(Prior Code, § 35.16)