Online travel industry disputes governor's claimsHELENA, Mont. (AP) — The online travel booking industry is disputing an allegation from the governor that it has been shortchanging the state of Montana on hotel taxes. A Washington D.C.-based trade group says it has been successful in most of its court cases in beating back collection of local hotel taxes. The industry says it operates just like travel agents do, and only pays hotel taxes on the amount of money the hotel receives for the transaction and not the higher amount paid by the consumer. Montana is arguing that the state occupancy tax should be paid on the amount the consumer pays for the room. Gov. Brian Schweitzer says he thinks the Montana law is clear, and expects the fast-growing Internet companies will have to respond to state requests for information on the topic. |
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