Originally Posted by chemist661
There was an article in the Los Angeles Times some months ago about the LA City Attorney suing PL, Expedia, Travelocity, etc. (I am not exactly sure if I have the exact parties the LA City Attorney is suing).
Let's not confuse this issue. I think this issue was regarding things like "Expedia Special Rates" where the hotel has a deal with Expedia for a volume purchase of rooms.
So, if Expedia rate is $150, including a 35% markup, the hotel gets only $111. The hotel was remitting tax on the $111, as that was what they were paid. The claim by the cities was that the rate presented was $150, so tax should have been on $150, not $111.
While an interesting discussion, it's not relevant to how to figure out the priceline rate paid.