Document Number
88-332
Tax Type
Litter Tax
Description
Bed and Breakfast Inn
Topic
Taxability of Persons and Transactions
Date Issued
12-16-1988
December 16, 1988




Re: Ruling Request - Litter Tax
Bed and Breakfast Establishments


Dear*****************

This will reply to your letter of October 31, 1988, in which you request a ruling regarding the applicability of the Virginia Litter Tax to the operation of your bed and breakfast establishment.

§§58.1-1707 and 58.1-1708 of the Code of Virginia provides for the imposition of the litter tax upon manufacturers, wholesalers, distributors, or retailers of food for human consumption, newspapers and magazines, and various other types of products. These statutes do not impose the litter tax with respect to the operation of a hotel or motel per se, although a hotel or motel business may be subjected to the tax if it operates a restaurant or a gift shop. The litter tax would also be due ii a hotel or motel does not operate a restaurant or gift, but sells food, drinks, newspapers, magazines, etc. at retail.

A bed and breakfast inn generally does not manufactures wholesale, distribute, or retail food or any of the other products listed in §58.1-1708 of the Code of Virginia. Unlike most hotels and motels, food is typically provided to guests as part of the overall charge for accommodations at the inn. As such, the serving of food would be completely incidental to the overall service provided by the bed and breakfast inn.

You do not operate a restaurant, gift shop, or other similar establishment in connection with your bed and breakfast inn. Further, you do not sell food or other products at retail. Based on these facts, your establishment is not subject to the litter tax.

Sincerely,



W. H. Forst
Tax Commissioner

Rulings of the Tax Commissioner

Last Updated 08/25/2014 16:46