From the Daily News:
TOURISM IS booming in New York, despite the struggling economy, but the cash-strapped city carelessly allowed a group of hotels to avoid paying millions in taxes, a new city audit has found.
The Bloomberg administration initially failed to collect a total of $8.9 million from 92 hotels and hostels over the last decade — and that does not include fines or interest, according to the audit by city Controller John Liu’s office.
The problem, the audit showed, was that hotels are allowed to voluntarily register with the city after they open for business. Liu’s auditors found that 64 hotels and 20 hostels and bed-and-breakfasts never bothered to do so. Another eight were caught underreporting what they owed.