Online travel service Expedia Inc. does not have to pay Philadelphia hotel tax on the fees it charges users for its services because the company is not a hotel operator, the Commonwealth Court ruled 5-2.
The ruling, which upholds the trial court in City of Philadelphia v. City of Philadelphia Tax Review Board , stops Expedia from having to pay more than $1.05 million in unpaid hotel taxes, interest and penalties for the years 2001 through 2005.
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