Saluda has collected $10K in tax since October

SALUDA—Since first collecting occupancy tax last October, the City of Saluda has collected approximately $10,000. 

The Saluda Board of Commissioners met last week and heard from finance officer Julie O’Steen regarding the tax collections. O’Steen said the city collected approximately $7,000 last fiscal year and approximately $3,000 so far this fiscal year. Saluda’s fiscal years run from July 1-June 30. 

The $10,000 collected so far was from October 2018 through Aug. 31 of this year. 

Prior to October 2018, Saluda had not collected occupancy tax. Occupancy tax is collected from overnight lodging. Polk County currently receives three percent from its three towns and the towns receive another three percent. 

Most of the tax is restricted and must be spent on activities that promote the town’s tourism. 

Saluda was approved a couple of years ago by the state to collect its own occupancy tax, but waited to collect it after deciding to join the county’s proposed Tourism Development Authority. Saluda, Tryon and county want to join together for the county to collect the occupancy tax for Tryon and Saluda as well as the unincorporated areas of the county. The county will collect 6 percent in the entire district, but has agreed to give Tryon and Saluda 5 percent of each town’s occupancy tax, instead of the three percent each town gets now. 

The state failed to approve a bill that would create the new county district last year. The county and towns decided to resubmit the bill this year for legislation to consider. 

The Town of Columbus does not want to join the county tourism authority because it has a special bill, where the tax is not as restricted as other towns.