(The Center Square) — A Colorado-based ski resort company is backing away from plans to charge a blended “sales tax” in tax-free New Hampshire for patrons amid a public backlash over the charges.
Vail Resorts, billed as the world’s largest operator of ski resorts, announced that it is lowering the charges for its Epic Pass products and is giving passholders the “option” to limit their access to New Hampshire resorts only to “forgo a tax on their pass.” The move comes after the state announced it was investigating whether the company was illegally charging a sales tax.
Gov. Kelly Ayotte welcomed the decision but said the state will continue its investigation and will “ensure any Granite Staters charged a sales tax can be refunded, and that Vail’s tax-free passes are easily accessible.”
“New Hampshire will never have a sales tax, and we certainly will not let an out-of-state company try to sneak one in,” the Republican said in a statement. “Our state is the best place in the country to ski — and skiers will be able to continue to enjoy our wonderful mountains tax-free!”
In March, the Colorado-based company implemented a “broad-based tax” on all Epic Pass products, including Epic Day Passes at its New Hampshire resorts, including Wildcat Mountain, Attitash and Mount Sunapee, which operates on land leased by the state. The new 3.2% charge is listed as “Sales and Other Taxes” for customers when they buy seasonal tickets, officials said
While the state allows local rooms and meals taxes, New Hampshire doesn’t have a statewide sales tax.
The state Attorney General’s office last week launched an investigation into whether the company is in violation of state laws for charging the “blended sales tax.”
Vail Resorts initially responded to the claims saying said the company “does not charge tax on New Hampshire goods or services, including on lift tickets that provide access to New Hampshire resorts” but said the Epic Pass and Northeast Value Pass include access to resorts outside of New Hampshire, which includes sales and admission taxes that the company is “legally required” to charge customers.
But the company later reversed its position, saying it would allow pass holders the option to limit their access to its New Hampshire resorts – and not pay the sales tax.
“We understand the concerns raised by Governor Ayotte and appreciate the feedback from the New Hampshire community,” Vail said in a statement. “While we provide lift tickets without taxes for our resorts in New Hampshire, we understand that some guests plan to use our multi-resort pass products to only access our four New Hampshire resorts.”
