City council approves restaurant tax increase

Pikeville officials believe a restaurant tax increase will bring an extra $200,000 to the city.

Monday night, Pikeville City Commissioners unanimously approved increasing the restaurant tax a half percent. It is now two percent.

City leaders say the extra money will go towards funding the new indoor Jenny Wiley Theater downtown.

"To invest in the region in the sense of art, entertainment, and to actually, the intent is to hopefully bring in additional traffic to the community which would in essence create additional jobs, additional demands for services, restaurants," said City Manager Donovan Blackburn.

Blackburn says the increase would be a nickel on a ten dollar bill.

The restaurant tax first went into effect in July to help fund the Expo Center.

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