Skift Take

Will Republicans in Congress balk at new taxes or fees for the FAA and for other aviation-related services? We'll see who ends up paying to fund budget shortfalls.

A $300 domestic airline ticket now includes about $60 in taxes — or 20 percent of the total fare — which pays for things like air traffic controllers, airport improvements, customs and immigration inspections and checkpoint screening.

President Obama, in his 2014 budget request, has proposed increases in many of those taxes, a move that the airline industry opposes, arguing that passengers are already overtaxed… The debate largely centers on two questions lawmakers and industry representatives will have to wrestle with in the coming months: Who should pay for the essential functions of the aviation system — travelers or all taxpayers? And could tax increases be avoided if the money collected were spent more efficiently?

Have a confidential tip for Skift? Get in touch

Tags: faa, fees, taxes

Up Next

Loading next stories