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Local governments around Florida are losing an estimated 28 million dollars to online travel companies. The Reason: Florida law is unclear over when tourist related sales taxes should be paid when rooms are purchased online.

On Expedia, you can book a room at a Disney World hotel for 139 dollars… a 92 dollar saving. Expedia bought the room a lot cheaper than that…and the only tax paid is on what Expedia paid for the room…not what the guest eventually paid.

Counties are losing an estimated 28 million dollars in tourism taxes because of the way the tax is being collected.This House committee killed legislation aimed at giving Expedia and others a pass on paying taxes at the higher rate…but then this member…Debbie Mayfield, changed her vote.

“I don’t know that leadership worked hard to make it not fail” says Mayfield  ”That wasn’t my purpose of reconsidering it. After I thought about it, I thought there were a lot of questions.”This fight is a whole lot more than just Expedia or other travel companies on line. It’s really a battle between Disney and Universal against all the other hotels in Florida.

The Theme parks and on line travel agents have mounted a full court Pr effort. Expedia’s lobbyist, Jennifer Greene, says all they want is certainty in the tax law.“The law is ambiguous and nobody knows what to follow, and businesses can’t function, and hotels can’t offer rooms and customers can’t buy rooms,” says Greene.

Hazelle Rogers voted no the first time and is sticking to her guns.

“For me”, says the Broward County representative, “I think we’re leaving a lot of revenue on the table. And at the time when we need to look at all the funding sources that we can”.

If the bill does become law, counties will continue to have less money for tourist related activity.

The House Finance and Tax committee turned last week’s 12 to11 vote against the bill into an 18 to 6 vote for it, sending the 28 million dollar tax break to the House Floor.