Beverly Hills : Bed Tax Increase Put on Ballot
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The City Council voted Tuesday to place on the Nov. 8 ballot a measure to retroactively increase the city’s hotel-bed tax from 7% to 11%.
The higher tax was adopted by the council in September, 1986, but officials decided to put the increase before voters to comply with Proposition 62, which requires municipalities to seek voter approval for any new general taxes imposed after Aug. 1, 1985. Proposition 62 was passed in November, 1986.
City officials are awaiting a court decision on whether Proposition 62 applies to tax increases, as well as new taxes. In the meantime, they said they chose to put the increase before voters to comply with any future court ruling that the law does apply to tax increases.
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