Hawaii’s attorney general says Expedia, Travelocity and several other online travel companies owe the state $53.1 million in general excise taxes, penalties and interest.
State Attorney General Doug Chin announced the Tax Appeal Court’s judgment on Wednesday in litigation that started in 2011.
The state Supreme Court ruled previously that online commerce is just as subject to Hawaii’s general excise tax as local brick-and-mortar businesses.
Chin says the ruling means businesses that provide goods and services through the Internet that are used or consumed in Hawaii are subject to Hawaii taxation.
The court sent the case back to the Tax Appeal Court to determine the amount the companies owe.
Chin says litigation continues against the companies for other state tax obligations.
Travelocity and Expedia declined to comment.