For the first time, a federal appellate court has held that online travel companies cannot be compelled to collect and pay local “bed” taxes on the rooms they sell to consumers.
Online Travel Companies Avoid Local Taxes
For the first time, a federal appellate court has held that online travel companies cannot be compelled to collect and pay local "bed" taxes on the rooms they sell to consumers. Similar disputes nationwide have been percolating through federal and state courts challenging the application of occupancy tax laws, written before online travel booking took off. The various suits sought payments from online firms.
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