In Re Transient Occupancy Tax Cases.

Summary

The court held that San Diego's transient occupancy tax applies to the wholesale room rate charged by a hotel plus any portion of a markup required by the hotel under rate-parity provisions, but not to an additional markup set solely by an online travel company. The online travel companies were not operators under the ordinance and therefore could not be assessed directly for unpaid tax. The court affirmed the judgment directing San Diego to set aside the assessments.