| Be it enacted by the People of the State of Maine as follows: |
|
| | Sec. 1. 36 MRSA c. 214 is enacted to read: |
|
| LOCAL OPTION LIQUOR, MEALS AND LODGING TAX |
|
| §1821.__Local option liquor, meals and lodging tax |
|
| | 1.__Municipalities authorized to adopt.__The legislative body | of a municipality may impose a local option tax according to the | provisions of this chapter on the same liquor, meals and lodging | taxed under section 1811 when provided within the municipal | corporate limits.__The tax may be applied at the rate of 0.5%, | 1.0%, 1.5% or 2% in addition to the percentage rate applied by | section 1811. |
|
| | 2.__Notify State Tax Assessor.__A municipality that imposes a | local option tax under this section shall notify the State Tax | Assessor at least 180 days before the local tax takes effect to | provide the State with sufficient time to prepare for | administration of the local tax. |
|
| | 3.__Administered by State.__Retailers in a municipality that | has imposed a local option tax under this section shall pay the | tax at the time and in the manner provided for the payment of | state sales and use taxes on liquor, meals and lodging, and the | local option tax must be in addition to all other taxes.__Taxes | imposed pursuant to this section are subject to the same | interest, penalty and administrative actions as are sales and use | taxes pursuant to this Part. |
|
| | 4.__Payment to municipalities.__Each month the State Tax | Assessor shall identify the amount of revenue actually collected | and attributable to each municipality under this section, | subtract the costs of administering this section and certify the | net amount due each municipality to the Local Option Liquor, | Meals and Lodging Tax Program under subsection 10.__The Treasurer | of State shall make monthly payments from the program to the | municipal treasurer of the net amounts certified by the State Tax | Assessor and adjusted by this subsection.__Revenue collected | pursuant to this section is not considered to be receipts from | the taxes imposed under this Part and Part 8 to be transferred to | the Local Government Fund pursuant to Title 30-A, section 5681. |
|
| | 5.__Use of local option liquor, meals and lodging tax revenue.__ | The revenue raised by the adoption of a local option liquor, | meals and lodging tax must be used by the municipality for the | payment of principal and interest to holders |
|
|