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Hilo, Hawaii News, Sports, & Information Wednesday, May 22, 2013



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Posted: Wednesday, March 20th, 2013 5:44 AM HST

Court tells travel sites to pay Hawaii $70 million

By Associated Press

HONOLULU (AP) — Popular travel sites are being told to pay Hawaii a total of $70 million as a penalty for skirting state general excise taxes over the past 10 years.

A tax appeal court says that online travel companies including Expedia, Orbitz, Hotels.com, Hotwire, Priceline and Travelocity have been selling hotel rooms online for years without paying the necessary taxes.

Hawaii says the companies owe the state $158 million including interest. The state says it anticipates collecting $20 million a year from the travel sites now that the court battle has been won.

Hawaii is also suing the travel companies to get them to pay the state's transient accommodations tax. The state says the companies owe about $400 million in unpaid transient accommodations taxes.



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