This month, the City of Azusa began working with MuniServices to have its business license and transient occupancy taxes examined for compliance. Through the contract, MuniServices, one of the nation’s leading municipal tax auditors, will identify businesses and lodging establishments in the City, and help ensure each entity complies equitably and accurately with the two taxes.
“The taxes the City imposes on the business community provide an ongoing source of revenue that is critical for us to maintain the high-quality public services our residents and business owners have come to expect,” said Azusa City Manager Troy Butzlaff. “MuniServices has a great track record of working cooperatively with local businesses, and will help us ensure two important taxes are applied fairly, so that everyone contributes in helping make Azusa an attractive and safe place to live, work and play.”
Last year, Azusa’s business license tax, which is levied on businesses operating in the City, accounted for nearly $2 million in general fund revenue. Its transient occupancy tax, which is collected from the City’s lodging establishments, accounted for more than $330,000 in revenue. Together, the two taxes generate 11 percent of all tax revenue the City received, and helped pay for streetscape repairs and public safety services.
“At a time when expenditures are rising for local governments, it’s a critical task to ensure everyone is paying their fair share,” said Julia Erdkamp, a client services manager with MuniServices. “Our goal is to find out what taxes are owed so that the City can do its job in creating a safe and beautiful community people want to visit and do business in.”
In the past five years, MuniServices has reviewed more than 9,000 lodging providers and has identified more than $20 million in unreported, underreported and otherwise delinquent tax revenue for their clients. MuniServices has also worked extensively with share rental companies like Airbnb and VRBO to address the business licensing and permitting issues of its landlords.
MuniServices is a leading provider of revenue recovery services. With over 900 cities, counties, special districts, and states as clients, MuniServices is the only firm in California and throughout the United States to offer proprietary revenue recovery, audit and administration services encompassing all general sources of municipal tax revenue. Learn more at muniservices.com.