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Rendell Vetoes Internet Reservation Hotel Tax Bill
Saturday, November 11, 2006 - 08:30 PM
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Pennsylvania Gov. Rendell yesterday vetoed House Bill 2282, saying it is "a vehicle to resolve litigation pending between Internet hotel booking services and the city of Philadelphia.
"I recognize that the introduction of Internet hotel reservation services raised new questions for our state and local tax codes," said Rendell. "I strongly believe that we must ensure that local and state government as well as Pennsylvania businesses are not adversely affected by Internet based companies who seek legislation to avoid duly imposed taxes."
Rendell said that the bill contained "drafting errors" that would require corrective legislation and that it is "impossible to know what the intent or impact of the bill will really be." He said local governments could lose millions in revenue depending on how the bill was interpreted.
Note: http://www.govtech.net/magazine/story.php?id=102309
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