Georgia’s Supreme Court ruled Monday the city of Columbus has the right to impose occupancy taxes on the amount online travel companies charge customers for hotel rooms. The 4-3 decision upholds an earlier ruling by Muscogee County court against Expedia Inc.
The Columbus government sued Expedia in 2006. It said the company must pay the city occupancy taxes based on the room rate collected from customers, not on the lower wholesale price it pays to hotels. Columbus charges a seven-percent occupancy tax on hotel and motel rooms.
This lawsuit is similar to ones filed by dozens of other municipalities. Many have been dismissed by federal or state judges.
The Columbus government sued Expedia in 2006. It said the company must pay the city occupancy taxes based on the room rate collected from customers, not on the lower wholesale price it pays to hotels. Columbus charges a seven-percent occupancy tax on hotel and motel rooms.
This lawsuit is similar to ones filed by dozens of other municipalities. Many have been dismissed by federal or state judges.
