March 29, 2010

During our recent Legislative Action Summit, representatives from online travel companies (OTCs) took it upon themselves to distribute a letter  to all our attendees describing their position on a proposal to provide themselves with a special tax exemption on occupancy taxes, potentially subjecting hotels to massive tax increases. 

In turn, AH&LA released our response last week and communicated it to the media and members of Congress. I wanted to share it with you, our members, as well.

OTCs want Congress to limit the ability of states and local jurisdictions of collecting occupancy taxes from OTCs if rooms are booked through their booking channels. This puts hotels in jeopardy of being called upon to pay the resulting shortage of tax that those jurisdictions believe is due on rooms, essentially forcing hotels to pay tax on revenue they never receive.  Learn more about this issue by  visiting this page , because it has a direct impact on your bottom line. 

AH&LA is adamantly opposing this proposed legislation, responding strongly to the OTC's letter and to members of Congress. However, Congress needs to hear from you ,  the ones directly threatened by this blatantly unfair proposal.

Signed,

Joseph McInerney
President & CEO