Lawsuit filed against owner of an Elk Grove hotel for unpaid transient occupancy taxes



A lawsuit has been filed against the current operator of an Elk Grove hotel for unpaid transient occupancy taxes.

The City of Elk Grove initiated the lawsuit and filed it in Sacramento Superior Court on June 20. The defendant is Parijat Innvestments, LLC, the owner of the Holiday Inn Express located on Maritime Drive.

The lawsuit states this action is related to another city-initiated case against Shivaa Investments, the prior owner of the establishment, which sought the collection of unpaid transient occupancy taxes dues to the city. The lawsuit states Parijat Investments obtained the property following a foreclosure proceeding against Shivaa.

After taking possession of the property, the document says Parijat did not request or obtain a tax clearance certificate from the city and has not withheld transient taxes in an escrow account as required by state tax laws.

The city alleges Parijat owes an amount of at least $355,663. In the April 2022 lawsuit against previous owner Shivaa, Elk Grove claims Parijat owes $151,432 in unpaid transient sales taxes and $35,432 in assessments.




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1 comment

D.J. Blutarsky said...

I think this is just the tip of the iceberg. Makes me wonder if some of our local businesses are playing it fast and loose with the sales tax too. On numerous occasions I have paid cash for items purchased, mostly at the small family run businesses, and they asked if I wanted a receipt. Hmmmm.

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