Issue of online travel firm taxes continues to smolder

Tuesday, 28 Jul, 2008 0

The number of municipalities suing online travel firms has now gone up to 200, according to The Wall Street Journal.

The suits began in Florida where government officials complained that online travel companies such as Expedia and Travelocity are not paying proper taxes when selling hotel rooms.

The 200 municipalities have a combined more than 20 lawsuits over the issue. Cities range from Los Angeles to Chicago to Charleston, SC.

The dispute centers around whether the online companies should pay taxes on the lower rate they negotiate directly with hotels or the higher rate they charge consumers. 

The Journal also reports that the suits, which have often stumbled in the past, are starting to gain traction. For instance, the newspaper says a federal judge in Texas recently granted class-action status to 175 cities suing the online companies.

Report by David Wilkening



 

profileimage

David



Most Read

Vegas’s Billion-Dollar Secrets – What They Don’t Want Tourists to Know

Visit Florida’s New CEO Bryan Griffin Shares His Vision for State Tourism with Graham

Chicago’s Tourism Renaissance: Graham Interviews Kristin Reynolds of Choose Chicago

Graham Talks with Cassandra McCauley of MMGY NextFactor About the Latest Industry Research

Destination International’s Andreas Weissenborn: Research, Advocacy, and Destination Impact

Graham and Don Welsh Discuss the Success of Destinations International’s Annual Conference

Graham and CEO Andre Kiwitz on Ventura Travel’s UK Move and Recruitment for the Role

Brett Laiken and Graham Discuss Florida’s Tourism Momentum and Global Appeal

Graham and Elliot Ferguson on Positioning DC as a Cultural and Inclusive Global Destination

Graham Talks to Fraser Last About His England-to-Ireland Trek for Mental Health Awareness

Kathy Nelson Tells Graham About the Honour of Hosting the World Cup and Kansas City’s Future

Graham McKenzie on Sir Richie Richardson’s Dual Passion for Golf and His Homeland, Antigua
TRAINING & COMPETITION
Skip to toolbar
Clearing CSS/JS assets' cache... Please wait until this notice disappears...
Updating... Please wait...