Topeka committee forwards proposal to raise transient guest tax to 8.5%

The Transient Guest Tax Committee on April 2 voted 2-0 to forward a charter ordinance to the full City Council that would raise the city's transient guest tax (TGT) from 7% to 8.5%, with the change scheduled to take effect Jan. 1, 2027.

Committee chair Michelle Hofer said the committee was advancing the rate question first and would return to decide how any additional revenue would be allocated if the Council approves the change. "So, I'd like to move this to an action item and vote to move it forward," Hofer said during the meeting.

Why it matters: The TGT is the city's principal targeted revenue for tourism and cultural projects. Under the current structure presented to the committee, the 7% base in 2025 generated about $2.9 million. That base is composed of a 5% base share plus add-ons: a 1% for Sunflower Soccer (sunset 2032) and a 1% that funds a set of downtown cultural sites (sunsets at the end of 2027). A recent carve-out already directs amounts above a 2025 Hotel Topeka baseline to the city to cover hotel-related costs; the proposal…