Beaumont says owner of hotel failed to pay required occupancy taxes

Kelly Holleran Aug. 12, 2013, 8:03pm

The city of Beaumont says one of the hotels in its city refuses to pay the occupancy taxes required of it.

The city of Beaumont filed a lawsuit Aug. 5 in Jefferson County District Court against Prabhubhai Jivanji Bhakta, doing business as Economy Inn. 

In its complaint, Beaumont alleges Bhakta failed to pay the required 7 percent in taxes required of all hotels in the city. In fact, Bhakta has not paid the taxes since March 2011, according to the complaint.

“The estimated/actual occupancy tax due plaintiff, plus penalties and interest, for the period ending March 31, 2013, is $8,836.36,” the suit states.

Although Beaumont has demanded that Bhakta pay the taxes, he has refused to do so, the complaint says.

Now, Beaumont is asking the court to prohibit Bhakta from operating a hotel within city limits until he pays his taxes.

In addition to the temporary restraining order that would close the hotel until the taxes are paid, Beaumont is seeking all the hotel taxes it claims it is owed, attorney’s fees, costs and other relief the court deems just.

Quentin D. Price of Beaumont will be representing it.

Judge Milton Shuffield, 136th District Court, has been assigned to the case.

Case No. D194-593

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