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Westchester May Hire Firm For Hotel Online Tax Lawsuit

WHITE PLAINS, N.Y. – Westchester County is considering separate legal action against travel websites that were allegedly underpaying taxes to local governments, according to lohud.com.

<p>The White Plains Residence Inn, one of the many hotels affected by the potential hotel tax lawsuit being considered by Westchester County.</p>

The White Plains Residence Inn, one of the many hotels affected by the potential hotel tax lawsuit being considered by Westchester County.

Photo Credit: Marriott.com

A similar class-action suit was filed in 2013 by 50 municipalities across the state but was reversed after a court ruled that a provision in Nassau County's tax law disqualified the suit from class-action status.

The suit would allege that certain booking sites have been paying a discounted rate in taxes after marking up the price of rooms sold to the public, lohud reported.

Westchester County charges a 3 percent tax on all hotel bookings.

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