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Concerns About T.O.T. Collection

Sonora, CA — The Tuolumne County Supervisors are urging Washington, DC lawmakers to crackdown on a practice carried out by online hotel booking companies that affects county funding received from the Transient Occupancy Tax.

Revenues that online booking companies pay to cities and counties are often much less than expected because many deduct their own service fees from the Transient Occupancy Tax owed to cities and counties across the U.S. The practice is being challenged by some local agencies in court, and travel industry officials have been lobbying Congress to pass a law allowing the practice. The Supervisors fear it could become a part of pending small business legislation, HR 5297.

The Supervisors have sent a letter listing concerns to Congressman George Radanovich and Senators Barbara Boxer and Dianne Feinstein.

Written by bjhansen@mlode.com.