Transport Airlines

Airline fare surcharges mislabeled as taxes, professor charges

Excerpt from Forbes

Feb 10, 2013 10:06 am

Skift Take

Edelman says he’s pointed the DOT to these alleged transgressions, and the DOT will undoubtedly take a hard look.

— Dennis Schaal

Free Report: The Changing Business of Extended-Stay Hotels

Have you ever wondered why the taxes on airline tickets are so high that the taxes far exceed the advertised fare? According to HBS professor Ben Edelman and Harvard student Xiaoxiao Wu, it’s because sometimes the “taxes” aren’t actually taxes.

In a new post on Edelman’s blog, the researchers chastise several airlines, including Air France, British Airways and American Airlines, for their ticket pricing practices.

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