A judge has thrown out a lawsuit from Orange County aimed at forcing online travel companies to pay higher hotel taxes.

With the dismissal, Orange County becomes the latest in an increasingly long line of local governments who have failed to convince courts that Internet hotel-booking agencies are underpaying local taxes.

The dispute is about how companies like Expedia and Orbitz calculate their tax payments.  The companies generally negotiate lower rates with hotels, and then offer those rooms to customers at a higher price.
 
However, the companies pay taxes on the lower rate, saying the higher price is the charge of the service
and not the cost of the room.
   
The county's lawyers tell the Orlando Sentinel they expect to appeal the ruling.