The city of Myrtle Beach hopes it is able to collect a percentage of the state’s Tourism Infrastructure Admissions Tax from those purchasing tickets to movies or other events held at The Market Common.
According to the proposed ordinance, which passed first reading last week, the city would be able to collect 25 percent of admissions taxes paid in The Market Common while allowing the city to compete for grants funded by admissions tax revenues to be used for tourism related infrastructure.
If the ordinance passes at the next City Council meeting, scheduled for Dec. 3., the city will apply with the state to create The Market Common Development District.
“This allows a quarter of the ad tax charge to come directly back to the city,” city manager Tom Leath said.
The district would include the Grand 14 at Market Common movie theater and paid events at the Grand Park athletic complex. Five percent of the price of entrance is sent to the state as an admissions tax.
Councilmen made a point of making sure the designation would not increase taxes that people pay.
“This is not increasing the tax, it’s just asking for more money to come back from Columbia,” Councilman Philip Render said.
Assistant city manager John Pedersen said the city did not know how much admissions taxes were collected from the movie theater and would not until the district is created and the city’s portion is sent back.