Austria approves “anti-Ryanair tax”, more expensive planes


While the coronavirus caused a heavy economic crisis with negative repercussions for families, workers and businesses, theAustria thought to raise the air ticket fares at no less than 40 euros. It is a decision by the federal government, led by Chancellor Sebastian Kurz, which is part of a reform of airline ticket taxation.

Single tax on airline tickets to challenge low cost flights

Along with the choice to offer state aid to Austrian Airlines, the government has decided to aim for a tax on tickets for environmental issues but also to hit low cost fares. A first measure concerns one single fee of 12 euros on tickets instead of the three different taxes based on the length of the flight, which provides for the payment from 3.50 euros to 7.50 euros for short and medium haul flights and 17.50 euros for long haul flights. The 12 euro single tax will replace the three currently in vogue and in fact short-haul flights will lose. The Austrian government has also thought of another fee of 30 euros for flights that fly less than 350 kilometers. The purpose, as we read, is to encourage the use of the train instead of the plane for short distances to reduce the environmental impact. A third measure is the one mentioned at the beginning of the article, which provides that super low cost flights will be eliminated, therefore not less than 40 euros.

Anti-dumping clause

This is an “anti-dumping” clause that goes against the competition, defined as unfair, of low cost airlines, which often sell tickets at bargain prices below taxes to make cash despite the climate and the workers themselves. With this decision, air tickets will cost no less than 40 euros even for short journeys. On the other hand, the CEO Lufthansa, Carsten Spohr, recently defined low cost flights as “economically, ecologically and politically irresponsible». In any case, a decision that will turn up the nose of those used to fly at low prices at the expense of the environment.

Read also: Phase 3 and air flights: price increases and chaos reimbursements ‘block’ summer holidays

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