Allegheny County files suit against Shadyside luxury hotel for back taxes

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An attorney for Allegheny County filed a lawsuit against the owners of a Shadyside luxury hotel today for failing to pay the required hotel tax from November 2013 through July.

The complaint names as a defendant Mansions on Fifth at 5105 Fifth Ave.

According to the lawsuit, the owners have failed to remit the county's 7 percent hotel room tax from November through July.

The lawsuit said that the owners are required to collect the tax at the time of the room rental and remit it to the county tax collector each month with a completed return.

The complaint alleges that the county has made numerous attempts to collect without success, including sending written notices and a letter warning of potential legal action.

"Defendant filed monthly return(s) for some months but not for others and, therefore, plaintiff is without knowledge of the precise amount owed," the complaint said.

The county alleges that the owners now owe a 5 percent penalty, as well as 12 percent interest on the unpaid taxes, which it alleges are more than $35,000.

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