FlyerTalk Forums - View Single Post - What $$ fee EXACTLY does Priceline charge on each hotel booking these days?
Old Sep 20, 2005, 9:39 am
  #10  
channa
FlyerTalk Evangelist
 
Join Date: Aug 2002
Location: Bay Area, CA
Programs: UA Plat 2MM; AS MVP Gold 75K
Posts: 35,067
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.
channa is offline