TALBOT COUNTY, MD - Talbot county leaders are considering increasing the accommodation tax rate for hotels in the county from 4% to 6%.
County officials say they are looking to present the idea in different towns across the county looking for support before moving forward. Most recently, they presented the idea at this week's town council meeting in Easton.
The Easton town council offered unanimous support to the possible tax increase.
County leaders presenting the change say the increase would have multiple benefits. Some of those benefits they presented included funding community events, avoiding raising taxes for local residents, and tourism costs, such as marketing for hotels.
However, some hotels in the county are unsure whether or not the increase it worth it.
Will Workman has operated the George Brooks House in Saint Michael's for more than twenty years. He said the increase will make smaller inns like his less competitive.
Workman also said it feels unfair for only hotels to take the tax burden.
"Rather than the other businesses that benefit from tourism, the bars and restaurants, they're not paying any tax to accommodate guests to this area," Workman said. "It largely falls on lodging."
Workman said that, if there is an increase, more of it's profits should be spent towards tourism.
"I think it should be ear-marked. I think 70-80% should be ear-marked for direct tourism," Workman said.
Ed Binot is an innkeeper at the Parsonage Inn, which is also in Saint Michaels.
Binot said this comes at a bad time, where raising prices for guests can come at a cost.
"So, if you have to increase your prices by, lets say, ten dollars a night, you may lose some guests," Binot said.
However, Binot said he recognizes the good that can come with increasing the county's tourism marketing funds.
Binot said he hopes there can be a compromise.
"That may be too much. Maybe you should consider 5%, uh, that would be more reasonable," Binot said.
County officials say they have a meeting with state representatives about the potential increase in October.
For the tax increase to pass, it would have to be approved by state lawmakers during the legislative session early next year.
