The Little Rock Convention and Visitors Bureau is offering some assistance to the devastated hotel and restaurant businesses on which the 2 percent advertising and promotion sales tax is assessed.
News release from the bureau:
To address the strains created for local hotels and restaurants by the current COVID-19 pandemic, Little Rock Advertising & Promotion Commission (A&P) and Little Rock Convention & Visitors Bureau (LRCVB) is offering some flexibility in the A&P tax remittance process.
The A&P tax is a legal obligation borne by individual consumers and remitted by permittees, just like state and local sales tax. The Little Rock A&P Tax is legally tied to debt service in the form of municipal bonds. While LRCVB and the Little Rock A&P Commission cannot waive the obligation to remit the tax by lodging and prepared food permittees, they are very sensitive to the fact that local prepared food and beverage retailers as well as lodging retailers are facing extreme challenges.
Little Rock A&P Commission will be offering the following relief options to provide flexibility to permittees related to the A&P taxes. All permittees are expected to continue to file their A&P tax returns each month (even if their gross receipts are substantially less than normal or zero), and have the option to utilize the new temporary relief applications if needed:
- A Covid-19 Application for Relief from Penalty and Interest (available online) for the taxable periods covering February, March, April and May, 2020.
- A Covid-19 Application for Deferment and Installment Payment Agreement (available online) that can defer, for three (3) months, payment due for taxes owed for the taxable periods covering February, March, April and May, 2020.
Permittees may obtain all applications online here: LittleRock.com/tax
If permittees have questions or need more information, they can contact Kasey Summerville at LRCVB (Ksummerville@littlerock.com or 501-370-3317).