2023 District of Columbia Code › Title 47 - Taxation, Licensing, Permits, Assessments, and Fees. [Enacted title] › Chapter 22 - Compensating-Use Tax › § 47–2202. Imposition of tax

§ 47–2202. Imposition of tax.
(a) There is hereby imposed and there shall be paid by every vendor engaging in business in the District and by every purchaser a tax on the use, storage, or consumption of any tangible personal property and service sold or purchased at retail sale. The rate of tax imposed by this section shall be 6.00% of the sales price of such tangible personal property and services, except that:
(1) The rate of tax shall be 12% of the gross receipt from the sale of or charges for the service of parking or storing of motor vehicles or trailers, except the service of parking or storing of motor vehicles or trailers on a parking lot owned or operated by the Washington Metropolitan Area Transit Authority and located adjacent to a Washington Metropolitan Area Transit Authority passenger stop or station;
(2)(A) The rate of tax shall be 10.20% of the gross receipts from the sale of or charges for any room or rooms, lodgings, or accommodations, furnished to a transient by any hotel, inn, tourist camp, tourist cabin, or any other place in which rooms, lodgings, or accommodations are regularly furnished to transients;
(B) If the occupancy of a room or rooms, lodgings, or accommodations is reserved, booked, or otherwise arranged for by a room remarketer, the tax imposed by this paragraph shall be determined based on the net charges and additional charges received by the room remarketer.
(3) The rate of tax shall be 9% of the gross receipts from the sale of or charges for:
(A) Food or drink prepared for immediate consumption as defined in § 47-2001(g-1) or spirituous or malt liquors, beer, and wine sold by an alcoholic beverage licensee acting under authority of §§ 25-112(h)(1), 25-113(a)(3)(C), or 25-113.01(f) or (g); and
(B) Spirituous or malt liquors, beer and wine sold for consumption on the premises where sold.
(C) [Repealed].
(3A) The rate of tax shall be 10.25% of the gross receipts of the sales of or charges for spirituous or malt liquors, beers, and wine sold for consumption off the premises where sold" and inserting the phrase "where sold, unless sold by an alcoholic beverage licensee acting under authority of §§ 25-112(h)(1), 25-113(a)(3)(C), or 25-113.01(f) or (g);
(3B) The rate of tax shall be 9.25% of the gross receipts from the sale of or charges for rental or leasing of rental vehicles and utility trailers as defined in § 50-1505.01; and
(3C) The rate of tax shall be 6.00% of the gross receipts from the sale of or charges for tangible personal property or services by legitimate theaters, or by entertainment venues with 10,000 or more seats, excluding any such theaters or entertainment venues from which such taxes are applied to pay debt service on tax-exempt bonds.
(4) [Repealed].
(5) The rate of tax shall be 8% of the gross receipts from the sale of or charges for soft drinks.
(b)(1) For fiscal years beginning before October 1, 2023, 5% of the use tax revenue collected at the rate provided by the lead-in language of subsection (a) that is not dedicated to legislatively proposed or existing tax increment financing districts or pledged to the benefit of holders of District Bonds or notes existing on or before [October 30, 2018] shall be dedicated to the Arts and Humanities Fund, established by § 39-205.01.
(2) For fiscal years beginning after September 30, 2023, and ending before October 1, 2027, there shall be dedicated to the Arts and Humanities Fund, from the use tax revenue collected at the rate provided by the lead-in language of subsection (a) of this section, the lesser of:
(A) 5% of the use tax revenue collected at the rate provided by the lead-in language of subsection (a) of this section that is not dedicated to legislatively proposed or existing tax increment financing districts or pledged to the benefit of holders of District bonds or notes existing on or before October 30, 2018; or
(B) An amount equal to 102% of the amount dedicated to the Arts and Humanities Fund in the prior fiscal year pursuant to this subsection.
(3) For fiscal years beginning after September 30, 2027, 5% of the use tax revenue collected at the rate provided by the lead-in language of subsection (a) of this section that is not dedicated to legislatively proposed or existing tax increment financing districts or pledged to the benefit of holders of District bonds or notes existing on or before October 30, 2018, shall be dedicated to the Arts and Humanities Fund.
(May 27, 1949, 63 Stat. 126, ch. 146, title II, § 212; May 18, 1954, 68 Stat. 118, ch. 218, title XIII, § 1307; Mar. 2, 1962, 76 Stat. 10, Pub. L. 87-408, § 102; Aug. 2, 1968, 82 Stat. 615, Pub. L. 90-450, title III, § 307; Oct. 31, 1969, 83 Stat. 172, Pub. L. 91-106, title I, § 110; Jan. 5, 1971, 84 Stat. 1932, Pub. L. 91-650, title II, § 201(c)(2); Aug. 29, 1972, 86 Stat. 643, Pub. L. 92-410, title III, § 301(b); Oct. 21, 1975, D.C. Law 1-23, title III, § 302(2), 22 DCR 2101; June 15, 1976, D.C. Law 1-70, title IV, § 409, 23 DCR 544; Sept. 13, 1980, D.C. Law 3-92, § 202, 27 DCR 3390; Sept. 26, 1984, D.C. Law 5-113, § 201(e), (f), 31 DCR 3974; July 25, 1989, D.C. Law 8-17, § 5(b), 36 DCR 4160; Sept. 30, 1993, D.C. Law 10-25, § 112(d), 40 DCR 5489; Apr. 30, 1994, D.C. Law 10-115, § 204(b), 41 DCR 1216; June 14, 1994, D.C. Law 10-128, § 105(b), 41 DCR 2096; Sept. 28, 1994, D.C. Law 10-188, § 303(a), 41 DCR 5333; enacted, Apr. 9, 1997, D.C. Law 11-254, § 2, 44 DCR 1575; Aug. 12, 1998, D.C. Law 12-142, § 3(f), 45 DCR 4826; June 5, 2003, D.C. Law 14-307, § 902(b), 49 DCR 11664; Mar. 3, 2010, D.C. Law 18-111, § 7241(g), 57 DCR 181; Apr. 8, 2011, D.C. Law 18-364, § 2(d), 58 DCR 976; Sept. 14, 2011, D.C. Law 19-21, § 7002(b)(1), 58 DCR 6226; Dec. 24, 2013, D.C. Law 20-61, § 7155, 60 DCR 12472; Oct. 30, 2018, D.C. Law 22-168, § 6004(a)(3), 65 DCR 9388; Sept. 11, 2019, D.C. Law 23-16, §§ 2203(d)(2), 7062(d), 66 DCR 8621; Dec. 3, 2020, D.C. Law 23-149, § 7053, 67 DCR 10493; Sept. 6, 2023, D.C. Law 25-50, § 7024(b), 70 DCR 10366.)
Prior Codifications
1981 Ed., § 47-2202.
1973 Ed., § 47-2702.
Section References
This section is referenced in § 9-1111.15, § 47-2202.01, § 47-2202.02, and § 47-4622.
Effect of Amendments
D.C. Law 14-307, in par. (3A), substituted “9%” for “8%”.
D.C. Law 18-111 substituted “5.75%, except for the period beginning October 1, 2009, and ending September 30, 2012, the rate shall be 6%,” for “5.75%, except for the period beginning June 1, 1994, and ending September 30, 1994, the rate shall be 7%,”.
D.C. Law 18-364 designated the existing text of par. (2) as par. (2)(A); and added par. (2)(B).
D.C. Law 19-21, in par. (2)(B), substituted “net charges and additional charges received by the room remarketer” for “net sale or net charges received from the transient by the room remarketer”.
The 2013 amendment by D.C. Law 20-61 substituted “Effective October 1, 2011, the rate of the tax shall be 10%” for “The rate of tax shall be 9%” in (3A).
Cross References
Alcoholic beverage control, rules and regulations, see § 25-211.
National capital region transportation, revenues deposited in general fund and allocated to metrorail/metrobus account, see § 9-1111.15.
National capital revitalization corporation, determination, publication, collection and deposit of tax increment revenues, see § 2-1219.22.
National capital revitalization corporation, “sales and use tax increment revenues” defined, see § 2-1219.01.
Tax rates, records and surplus funds, authority of Council to change certain tax rates, see § 47-504.
Emergency Legislation
For temporary (90 days) amendment of this section, see § 7062(d) of Fiscal Year 2020 Budget Support Congressional Review Emergency Act of 2019 (D.C. Act 23-112, Sept. 4, 2019, 66 DCR 11964).
For temporary (90 days) amendment of this section, see § 2203(d)(2) of Fiscal Year 2020 Budget Support Congressional Review Emergency Act of 2019 (D.C. Act 23-112, Sept. 4, 2019, 66 DCR 11964).
For temporary (90 days) amendment of this section, see § 7062(d) of Fiscal Year 2020 Budget Support Emergency Act of 2019 (D.C. Act 23-91, July 22, 2019, 66 DCR 8497).
For temporary (90 days) amendment of this section, see § 2203(d)(2) of Fiscal Year 2020 Budget Support Emergency Act of 2019 (D.C. Act 23-91, July 22, 2019, 66 DCR 8497).
For temporary (90 days) amendment of this section, see § 6004(a)(3) of Fiscal Year 2019 Budget Support Congressional Review Emergency Act of 2018 (D.C. Act 22-458, Oct. 3, 2018, 65 DCR 11212).
For temporary (90 days) amendment of this section, see § 6004(a)(3) of Fiscal Year 2019 Budget Support Emergency Act of 2018 (D.C. Act 22-434, July 30, 2018, 65 DCR 8200).
For temporary (90 day) amendment of section, see §§ 902(b) and 903 of Fiscal Year 2003 Budget Support Amendment Emergency Act of 2002 (D.C. Act 14-544, December 4, 2002, 49 DCR 11700).
For temporary (90 day) amendment of section, see §§ 902(b) and 903 of the Fiscal Year 2003 Budget Support Amendment Congressional Review Emergency Act of 2003 (D.C. Act 15-27, February 24, 2003, 50 DCR 2151).
For temporary (90 day) amendment of section, see §§ 902(b) and 903 of Fiscal Year 2003 Budget Support Amendment Second Congressional Review Emergency Act of 2003 (D.C. Act 15-103, June 20, 2003, 50 DCR 5499).
For temporary (90 day) amendment of section, see § 7111(f) of Fiscal Year 2010 Budget Support Emergency Act of 2009 (D.C. Act 18-187, August 26, 2009, 56 DCR 7374).
For temporary (90 day) amendment of section, see § 7241(g) of Fiscal Year 2010 Budget Support Second Emergency Act of 2009 (D.C. Act 18-207, October 15, 2009, 56 DCR 8234).
For temporary (90 day) amendment of section, see § 7241(g) of Fiscal Year Budget Support Congressional Review Emergency Amendment Act of 2009 (D.C. Act 18-260, January 4, 2010, 57 DCR 345).
For temporary (90 day) amendment of section, see § 7002(b)(1) of Fiscal Year 2012 Budget Support Emergency Act of 2011 (D.C. Act 19-93, June 29, 2011, 58 DCR 5599).
For temporary (90 day) amendment of section, see § 11 of Revised Fiscal Year 2012 Budget Support Technical Clarification Emergency Amendment Act of 2011 (D.C. Act 19-157, October 4, 2011, 58 DCR 8688).
For temporary amendment of section, see § 106 of the Fiscal Year 2013 Budget Support Technical Clarification Emergency Amendment Act of 2012 (D.C. Act 19-482, October 12, 2012, 59 DCR 12478).
For temporary amendment of section, see § 106 of the Fiscal Year 2013 Budget Support Technical Clarification Congressional Review Emergency Amendment Act of 2012 (D.C. Act 19-604, January 14, 2013, 60 DCR 1045), applicable as of January 10, 2013.
For temporary (90 days) amendment of this section, see §§ 7155 and 7159 of the Fiscal Year 2014 Budget Support Emergency Act of 2013 (D.C. Act 20-130, July 30, 2013, 60 DCR 11384, 20 DCSTAT 1827).
For temporary (90 days) amendment of this section, see §§ 7155 and 7159 of the Fiscal Year 2014 Budget Support Congressional Review Emergency Act of 2013 (D.C. Act 20-204, October 17, 2013, 60 DCR 15341, 20 DCSTAT 2311).
Temporary Legislation
Section 11 of D.C. Law 19-53, in par. (3A), substituted “Effective October 1, 2011, the rate of the tax shall be 10%” for “The rate of the tax shall be 9%”.
Section 15(b) of D.C. Law 19-53 provided that the act shall expire after 225 days of its having taken effect.
Section 106 of D.C. Law 19-226 amended the introductory paragraph and subdivision (3A) of this section as follows:
“There is hereby imposed and there shall be paid by every vendor engaging in business in the District and by every purchaser a tax on the use, storage, or consumption of any tangible personal property and service sold or purchased at retail sale. The rate of tax imposed by this section shall be 6%, of the sales price of such tangible personal property and services, except that:
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“(3A) Effective October 1, 2011, the rate of tax shall be 10% of the gross receipts of the sales of or charges for spirituous or malt liquors, beers, and wine sold for consumption off the premises where sold; and”
Section 402(b) of D.C. Law 19-226 provided that the act shall expire after 225 days of its having taken effect.
Short Title
Section 7151 of D.C. Law 20-61 provided that Subtitle O of Title VII of the act may be cited as the “Tax Clarification Amendment Act of 2013”.
Section 7151 of D.C. Law 20-61 provided that Subtitle O of Title VII of the act may be cited as the “Tax Clarification Amendment Act of 2013”.
Effective Dates
Section 202 of D.C. Law 5-113 provided that § 201 shall take effect October 1, 1984.
Editor's Notes
Expiration of §§ 301, 302 and 303 of Law 10-188: See Historical and Statutory Notes following § 47-2202.01.
Mayor authorized to issue rules: See second paragraph of note to § 47-2601.
Audit of accounts and operation of Authority: See Historical and Statutory Notes following § 47-2202.01.
Expiration of §§ 301, 302 and 303 of Law 10-188: See Historical and Statutory Notes following § 47-2202.01.
Audit of accounts and operation of Authority: See Historical and Statutory Notes following § 47-2202.01.
Section 903 of D.C. Law 14-307 provided: “Sec. 903. Applicability. Section 902 shall apply as of January 1, 2003.”
Section 7159 of D.C. Law 20-61 repealed D.C. Law 19-226, § 106(a).
Applicability of D.C. Law 20-61: Section 11001 of D.C. Law 20-61 provided that, except as otherwise provided, the act shall apply as of October 1, 2013.