Expedia, one of the nation’s largest online travel reservation companies, has demonstrated “a conscious and deliberate effort … in violation of state and local law” to avoid paying taxes it owes to state and local governments across the country for its online hotel and motel bookings, according to a report unsealed by a judge in Columbus.
The company, which owns Hotels.com, has engaged in “sham transactions” and pursued “a calculated, deliberate plan to conceal its true liability for the occupancy taxes,” the report states. The report is being reviewed by attorneys representing local governments pressing similar litigation against online travel companies, including counsel in a class action on behalf of more than 250 Georgia counties and municipalities in federal court in Rome.
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