Online Travel Agencies – The Rip-off Mendocino County and Other Destinations

Did you know that when you book with an online travel agency, in almost all cases, a portion of your tax payment is just pure profit for the agency. When you book online through a dot.com, you are charged a “bed tax” or “transient occupancy tax” on your accommodations if the property is in an area with such taxes. A good portion of that tax is not paid to the taxing jurisdiction. When the dot.com charges your credit card for a deposit or for the entire stay, they include bed taxes, which in San Francisco are 15%. However, the City only receives taxes on the net amount paid to the hotel. Generally, the hotel receives about 70% to 75% of the the actual amount you pay. For example, if you pay $200 per night, you credit card will be charged...