Sevierville aldermen approve lodging tax hike

Sevierville aldermen approve lodging tax hike

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SEVIERVILLE (WATE) - The city of Sevierville voted 3-0 Monday night to approve a one percent tax hike on lodging. Two aldermen were not present for the vote.

The vote was the third needed to approve the increase. Beginning July 1, tourists and hotel visitors will see the tax rate jump from two to three percent.

City spokesman Bob Stahlke said officials estimate the move will increase tax revenues by $660,000. They plan to use $400,000 toward tourism marketing.

The city also plans to ask the state to implement a new hospitality tax, with the goal of spreading the tax burden amongst area businesses.

In the vote, the aldermen approved a measure that would reduce the lodging tax back down to two percent, should the state approve their request for a hospitality tax.

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