Government faces lawsuits over air tax hike

Government faces lawsuits over air tax hike

Airlines and tour operators threaten to sue

The decision by the government to increase
air
passenger duty
by £1bn could see it being sued by airlines and tour
operators.

The Board of Airline Representatives,
whose members include British Airways and Virgin Atlantic, said it was
considering legal action over the increase in the passenger duty,
The
Guardian
reported.

The government has already been forced to defend the rise with the Treasury
saying that the decision was legally watertight and it was up to airlines
whether they passed the cost on to passengers.

The increased levy means that from Thursday this week people flying out of
the UK pay £10 on short haul flights and £40 on long haul trips in economy class
(a doubling of the rate in both cases).

Further reading:

E&Y slams air passenger tax increase

Travel tax ‘bungle’ costs industry £47m

Brown targets air passengers to bear PBR burden

Share

Subscribe to get your daily business insights

Resources & Whitepapers

Why Professional Services Firms Should Ditch Folders and Embrace Metadata
Professional Services

Why Professional Services Firms Should Ditch Folders and Embrace Metadata

3y

Why Professional Services Firms Should Ditch Folde...

In the past decade, the professional services industry has transformed significantly. Digital disruptions, increased competition, and changing market ...

View resource
2 Vital keys to Remaining Competitive for Professional Services Firms

2 Vital keys to Remaining Competitive for Professional Services Firms

3y

2 Vital keys to Remaining Competitive for Professi...

In recent months, professional services firms are facing more pressure than ever to deliver value to clients. Often, clients look at the firms own inf...

View resource
Turn Accounts Payable into a value-engine
Accounting Firms

Turn Accounts Payable into a value-engine

3y

Turn Accounts Payable into a value-engine

In a world of instant results and automated workloads, the potential for AP to drive insights and transform results is enormous. But, if you’re still ...

View resource
Digital Links: A guide to MTD in 2021
Making Tax Digital

Digital Links: A guide to MTD in 2021

3y

Digital Links: A guide to MTD in 2021

The first phase of Making Tax Digital (MTD) saw the requirement for the digital submission of the VAT Return using compliant software. That’s now behi...

View resource