AH&LA Applauds Wyoming OTA Sales and Lodging Tax Ruling
Friday April 4th, 2014 - 10:21AM W
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WASHINGTON, DC—The American Hotel & Lodging Association (AH&LA), applauds yesterday’s ruling by the Wyoming Supreme Court that online travel companies (OTCs) should remit sales and lodging tax on the full booking price of hotel rooms.
“For many years, hotels across the country have been at a competitive disadvantage with their out-of-state competitors due to the lack of a system in place to provide tax parity, essentially subjecting them to a higher effective tax rate,” stated AH&LA President/CEO Katherine Lugar. “[Yesterday’s] ruling by the Wyoming Supreme Court corrects this and ensures that the state’s hoteliers and OTCs operate on a level playing field, and that both remit sales and lodging taxes on the same retail rate. We are pleased that this decision ensures Wyoming hoteliers can now operate with the assurance they will not pay higher sales and lodging tax rates than the OTCs.”
According to the Bureau of Labor Statistics (BLS), the Wyoming lodging industry is responsible for 11,378 jobs and $332 million in wages. As of July 2013, there were 392 lodging properties across the state, comprised of 26,381 rooms. Smith Travel Research (STR) reports that total tax revenue generated by the state’s lodging industry in 2012 was $119.8 million.
Tags: AH&LA • Wyoming Supreme Court • OTCs • Hospitality •
When you hear all the lodging industry projections for the months and years to come, much of the robust growth is forecast to be the result of the expected influx of travelers from China. In what could only be seen as good news for the industry, that expectation moved a little closer to reality when President Obama signed a visa waiver extension for Chinese travelers earlier this month.