NetChoice opposes HB 2889, which creates a new tax on services provided by travel agents and online travel companies.
HB 2889 imposes a new tax on the fees these travel agents charge for researching, comparing, and booking rooms for travelers. Cities and states favor hotel taxes since they fall mostly on visitors – not on resident voters. But under HB 2889, this approach would backfire since the new service tax would be paid only by Texans– not by travelers from out-of-state.
We describe this and other concerns in the attached testimony