Here’s some good information on how resellers are not paying taxes while we consumers are overpaying.
| Re-sellers buy blocks of hotel rooms (airlines seats, tickets, etc.) at a low price and package them for re-sale to us consumers at a higher price. The difference in cost represents their profit. The consumer is charged appropriate taxes based on our purchase price. |
| The underlying issue (behind all the procedural wrangling) has to do with a common re-selling practice. In this case, a number of online travel firms, including some of the giants in the online travel industry, have adopted a practice on remitting hotel occupancy taxes that is at odds with how the city of Atlanta believes taxes should be charged and remitted. |
| The travel companies have been remitting taxes based on the price the company paid, not the price charged and paid by the consumer, claiming that the difference is a service fee/charge and NOT taxes. |
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airlines, city of atlanta, consumers, fee charge, giants, hotel occupancy, hotel rooms, odds, paying taxes, resellers, taxes travel, travel companies, travel firms, travel industry, Travel Info
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