Expedia’s Tax Problems Go Global With VAT Challenges in Europe
Photo Credit: Expedia Inc. is facing VAT assessments in the UK and other European Union countries. Pictured is the Hyatt Regency Birmingham in the UK. Hyatt Hotels & Resorts
Skift Take
Despite 88 filed lawsuits in the U.S. -- and now VAT issues in Europe -- the hotel occupancy tax issue has mostly been manageable for Expedia and the other online travel agencies. The sky indeed has not fallen.
Expedia Inc., and its various brands, have been defendants in 88 lawsuits filed by U.S. cities, counties and states since the City of Los Angeles filed the hotel tax lawsuit heard around the country in 2004 — now the online travel agency's tax issues have surfaced in Europe, too.
Expedia noted for the the first time, in a quarterly filing with the Securities and Exchange Commission July 30, that it is "in various stages of inquiry or audit in multiple European Union jurisdictions, including in the United Kingdom, regarding the application of VAT to our European Union-related transactions."
European countries tack on a Value-Added
