Choose a blog

Online travel companies sue N.C. over changes to sales tax law

A group of online travel companies have filed a lawsuit against North Carolina saying recent amendments to the state's sales tax law violate the Internet Tax Freedom Act.

The amendments, which went into effect Jan. 1, require that fees paid to third-party intermediaries, such as Orbitz, Travelocity and, be included in the gross receipts of hotel operators that are subject to sales and hotel room taxes.

Online travel sites argue that the changes amount to a discriminatory tax because they impose a higher tax on online transactions compared to those that offer similar services offline.

The lawsuit was filed in Wake County Superior Court by Orbitz, Trip Network Inc., Travelocity, Travelscape, and Hotwire.

Cars View All
Find a Car
Jobs View All
Find a Job
Homes View All
Find a Home

Want to post a comment?

In order to join the conversation, you must be a member of Click here to register or to log in.