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Jul 29, 2011 3:49 PM by Matt Stafford

Breckenridge sues online companies over taxes

BRECKENRIDGE, Colo. (AP) - Breckenridge has filed a class-action lawsuit against more than 20 online travel companies claiming the agencies failed to pay the full lodging and sales taxes owed to the town for rooms the sites have sold.

Breckenridge says companies like Expedia have been purchasing rooms from local hotels and then selling them to customers at higher rates. Expedia did not return a phone call seeking comment.

According to the Summit Daily News, the companies have failed to pay sales and lodging taxes to the difference in price.

Town officials estimate the community has lost $1 million, including penalties and interest.

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