Golf Course Taxes

Virginia Beach, VA: (Jan-14-08) The commissioner of revenue's office brought charges against the Virginia Beach Development Authority, over unpaid taxes at the old TPC golf course. Sources stated that the dispute stemmed from the city's buying the former Virginia Beach Tournament Players Club in fall 2006. The price was $4.54 million. City leaders kept Tournament Players Club, a brand name in golfing circles, as the management firm through March 2007. The city then awarded a contract to another company. That group renamed the course, along Princess Anne Road, Virginia Beach National Golf Club. The suit stated that the facility failed to pay taxes on business property such as flagpoles, signs and maintenance vehicles.

The Development Authority got the bill and quickly called it into question. Officials wondered why they had to pay taxes when the authority's board is appointed by City Council and its staff members are public workers. City attorneys ruled the authority had to pay the bill because it agreed to assume operating costs in its contract with TPC. As part of a settlement reached, the Virginia Beach Development Authority agreed to pay $14,000 to resolve the dispute. Under the deal, Virginia Beach National must pay its own 2008 taxes. [HAMPTON ROADS: GOLF COURSE TAXES]

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Published on Jan-16-08