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FareCompa Airline Travel Taxes Effect on Cheap Airline Tickets



 
 
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Old March 19th, 2007, 03:34 AM posted to rec.travel.air
Ablang
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Default FareCompa Airline Travel Taxes Effect on Cheap Airline Tickets

http://www.farecompare.com/insider/T..._Ticke ts.htm

Shop for Cheap Airline Tickets and Discount Airfare Shop for Cheap
Airline Tickets
Airline Travel Taxes Effect on Cheap Airline Tickets

Anyone that has been shopping for air travel recently is acutely aware
of the recent trend in escalating costs. Finding cheap airline tickets
for many has become an epic adventure. As easy as it is to blame the
airlines, there is a relatively new and alarming trend outside the
airlines control - sky rocketing taxes & fees.

That's right! Look no further than your local government when you get
that bad taste in your mouth after purchasing an airline ticket.
Believe it or not, airline tickets are being purchased where the
combined taxes & fees are the largest portion of the total ticket
cost.

Savvy air travelers who know the basics about taxes & fees can save
hundreds of dollars by making the best buying decision. With your
brief indulgence, I'll walk you through the basics of taxes & fees. I
guarantee you can use your new found knowledge to save money on future
air travel purchases.
Fly to Dublin or Shannon for the Cheapest Airline Ticket

Before the boring details, let's take a quick look at an example that
illustrates the point.

For international round trips originating in the U.S., the taxes &
fees are fixed at $54 for a non-stop and $68 for a one-stop. However,
the comparison of additional taxes & fees for Ireland and the United
Kingdom are quite surprising:

* Dublin - $24
* Shannon - $21
* London Heathrow - $105
* London Gatwick - $93

If you take into account that average fuel surcharges to Ireland are
50% or less than to the United Kingdom, you could save up to $1,000 on
an itinerary with 3 or more travelers. Then, you could use your
savings to visit the UK from Ireland on a low cost airline like Ryan
Air. They have ridiculously low prices if you buy well in advance.

The only caveat is the number of planes flying over the pond to
Ireland vs. United Kingdom. Dublin has 9 daily flights from Atlanta,
Boston, Newark, New York, Los Angeles, Chicago and Philadelphia
compared to London that has 61 daily flights from several cities in
the U.S.
Taxes & Fees on International Airline Tickets Rule of Thumb

International airline tickets departing from the U.S. all have the
same basic taxes & fees for roundtrips.

* Non-Stop: $54
* One-Stop: $68

The breakdown is as follows:

Outbound U.S. airline ticket taxes & fees:

* $15.10 - Departing from U.S. - U.S. Sales Tax

Inbound U.S. airline ticket taxes & fees:

* $15.10 -U.S. Sales Tax
* $5.00 - U.S. Customs Fee
* $7.00 - U.S. Immigration Fee
* $5.00 - U.S. Agricultural Fee

Wheels Up & Down U.S. airline ticket taxes & fees:

* $4.50 Wheels up U.S. - Airport Passenger Facility Charges (max
$9.00 per direction)
* $2.50 Wheels up U.S. - Flight Segment Fee (max $5.00 per
direction)

The taxes & fees for destination countries vary wildly. If you transit
(connect) through a country the fees can stack up in increments of $30
to $60 per airline ticket. Also, different cities within a particular
country can make a huge difference in the fees you will be charged. We
will be highlighting these in a separate document.
Taxes & Fees on Domestic U.S. Airline Tickets

The basic rules of thumb for U.S. domestic travel are $21 in taxes &
fees for non-stop travel and $42 in taxes & fees for one-stop travel.
The airlines with non-stops usually raise their fare prices by $20.
They know if they match the prices of connecting flights, they not
only have the competitive advantage of a non-stop, but they pocket an
additional $21 that airlines with connecting flights pay to the
government.

Fares are priced at odd amounts so when the standard 7.5% U.S.
Domestic Ticket Sales tax is applied, the base fare is an even dollar
amount. For example a $200 base airfare is actually $186.04 (airfare
for the airline) + 7.5% U.S. airline ticket sales tax ($13.96).
Official Low Down on Airline Ticket Taxes & Fees

Following are links for those adventurers who really want the official
low down on taxes.

Tax Terminology - http://www.arccorp.com/forms/pp/iah/current/iah7_0.pdf

U.S. Taxes Domestic and International Taxes -
http://www.arccorp.com/forms/pp/iah/current/iah7_2.pdf,
http://www.arccorp.com/forms/pp/iah/current/iah7_6.pdf

Cheers,

Rick Seaney
CEO, FareCompare.com

 




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