The Geneva City Council voted Oct. 3 to approve a 2 percent Places for Eating Tax that will go into effect starting Jan. 1, 2017.
Restaurants and other businesses where prepared food is sold at retail for immediate consumption with seating provided may elect to pass the tax through to the consumers. This will translate into an additional $1 for a $50 bill for customers. The Places for Eating Tax is levied in addition to any other taxes currently in effect.
The new tax is expected to generate $500,000 for the remainder of the City’s 2016-17 fiscal year and an estimated $1.5 million on an annual basis. The additional revenue will allow the City to maintain its current level of core services for public safety and public works and provide a funding source for various capital projects or future equipment purchases.
The City will provide all impacted businesses an informational packet that contains necessary tax documents to register. The forms also are available on the City’s website at the link below.
In addition, the City will host two information sessions for business owners at 8:30 a.m. Tuesday, Oct. 25 and 3 p.m. Wednesday, Oct. 26 in City Hall Council Chambers, 109 James St. City staff will review details about the applicability of the tax and tax remittance procedures along with answering questions.
The sessions also will be videotaped and placed on the City’s website and YouTube channel.
Owners filing tax returns may retain a 1 percent commission ($10 for every $1,000 collected in Places for Eating Tax revenue) as reimbursement from the City for expenses incurred in record keeping, billing, preparing and filing returns, remitting the tax and supplying data to the City upon request.
Business owners who have questions about the Places for Eating Tax can call the City’s Finance Division at 630-232-0854 or email firstname.lastname@example.org.