We’re here to clear up three common misconceptions about the Benton Advertising and Promotion (A&P) Tax—and to shine a light on the creative and impactful initiatives funded by this important local resource. The A&P Commission is working hard to promote tourism, enhance our city's unique offerings, and fuel economic growth in meaningful ways.
Surprisingly, many Benton residents have never heard of the tax or aren’t aware of how it’s benefiting our city as a rising destination. So, let’s start with the basics.
What Is the Advertising & Promotion Tax?
The A&P Tax is a 1.5% local tax applied to all prepared foods and short-term lodging—think restaurant meals and hotel stays. The revenue generated is reinvested into Benton to support local attractions, events, and promotional efforts aimed at drawing visitors and strengthening our sense of community.
The A&P Commission, a governing body of seven members, oversees the collection and use of these funds. Their structure and responsibilities are defined by state law, ensuring transparency and purpose. The Commission meets monthly to review funding requests and to evaluate new opportunities that align with its mission.
Myth #1: Only Benton residents pay the tax.
Reality Check:
The A&P Tax is paid by both visitors and residents. When an out-of-state traveler grabs a burger or a businesswoman checks into a hotel during a conference, they’re helping fund local projects through this tax. It's a great way to capture tourism dollars and reinvest them into initiatives that benefit our entire community.
Myth #2: The tax comes out of restaurant owners’ profits.
Reality Check:
This is a “pass-through” tax—meaning customers, not business owners, pay it. Restaurants and hotels simply collect the tax on behalf of the city. It does not impose any financial burden on local businesses.
Myth #3: The city decides how the funds are used.
Reality Check:
By law, A&P funds must be used to promote tourism and drive economic activity—not to cover general city expenses. Any organization can submit a funding request to the A&P Commission, as long as the proposal aligns with the Commission’s mission: to promote the City of Benton, drive economic activity, and enhance quality of life.
To be considered, proposals must clearly demonstrate their expected impact—especially in terms of visitor attendance, hotel stays, restaurant visits, and other local economic activity. These details are all part of the required Funding Request Form.
Where Does the Money Go?
In the past year alone, A&P contributions have helped fund marketing for:
- Old Fashioned Day
- Saline River Canoe activities
- Royal Players
- Saline County Comic Expo
- Saline County Fair & Rodeo
- Benton Parks & Rec Bike Park
- Saline County Art League, and more.
Larger long-term projects supported by the A&P Commission include:
- A pickleball/tennis complex
- A new RV campground
- A new soccer complex
- Buc-ee’s land investment
- Additional park and event infrastructure
A community focus group, formed in 2021, helped identify which projects the public values most—those that not only boost tourism but also make Benton a better place to live and visit.
In Closing
People are looking for great food, new experiences, and welcoming places to explore. The A&P Tax helps Benton capture those tourism dollars and turn them into lasting community benefits. From community events and recreation to arts and entertainment, the A&P Commission is helping make Benton a destination where visitors want to stay, play, and discover.
