By Marty Gordon
The state of Virginia could receive an estimated $250 million annually as they start collecting a new Internet sales tax, and localities around the Commonwealth are looking for their piece of the pie. Christiansburg aims to be one of those.
Tuesday night, Mayor Michael Barber asked fellow council members for a resolution supporting the measure. “By asking for a formal resolution, I want to make sure we get our fair share of it. I also think it could encourage more people to shop locally. It will benefit the community. I just asked that we go on the record to support it,” he said.
The town’s treasurer has not said how the Internet sales tax could affect or benefit the community.
Statewide, Virginia Secretary of Finance Aubrey Layne has recommended, if the $250 million estimate stands, close to $90 million would go toward the state’s general fund. The rest of the breakdown would include $45-$50 million for education, $35 million for transportation, $45 million for local remittance and $25 million for regional transportation.
Layne told members of the general assembly that many online retailers have already begun collecting online sales taxes.
Last year, the U.S. Supreme Court in the case of South Dakota vs. Wayfair ruled states could collect Internet sales tax. Nineteen states in the U.S. have approved legislation to begin the collection. The Virginia General Assembly followed suit in this year’s session.
In the midst of the debate, small retailers complain they are at a disadvantage because people have turned to the Internet to buy goods and are not paying the sales tax.
Wilderness Trail update, Airbnb ordinance approved and a zoning amendment
In other matters, council approved street closures for the September 12 Wilderness Trail Festival. Members of the Kiwanis Club said the festival’s footprint would be the same as last year.
They also approved by a show of hands to consider adding another $10,000 to the town’s contribution to the VT Montgomery Executive Airport Authority. Currently, the amount is $50,000 and will move to $60,000 when the council considers it new Fiscal Year budget.
On Tuesday, council also approved a “homestay” ordinance that will affect Airbnb’s in the town. Effective July 1, the town hopes to start collecting transient lodging tax from the group. The plan would collect a nine percent transient tax. A separate code change to amend the finance and taxation chapter is still needed to begin the process.
No one spoke at a public hearing to amend Chapter 42 of the town’s zoning to clarify the permitted uses in the I-2, General Industrial District. Under the change, breweries, data centers, mobile food vendors, storage units and fitness centers/gyms would be allowed under conditional use permits.
The town’s planning commission recommended approval of the changes in an 8-0 vote. Council expects to vote on the matter at a regularly scheduled meeting.
