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A few business magazines and some blogs have commented on this “non-taxable” ruling. But upon further examination, baggage fees are taxable, just not as transportation. It appears that taxes are eventually collected from the airlines for these fees as overall corporate profits and passengers may actually benefit from not having 7.5 percent transportation federal excise tax slapped on the baggage fees.
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JAL joins Skyteam, Boeing considers 737 redesign and new engines, IRS says airline fees aren’t taxable
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Ever wished there was a law that forces airlines to disclose all extras on their tickets? Right up front. While you’re shopping for flights.
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I am Patient Zero for attention deficit disorder, which may explain why more than a few people with legitimate grievances e-mail me back after I’ve responded to their questions, asking me if I even bothered to read their inquiry. I did, but I was probably distracted by a screaming child in my home office or a kitten scurrying across my keyboard.
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If your travel plans include France, some meals will cost less beginning in July because of tax cuts. Will it be enough to lure residents and tourists into eating out? The French government is betting yes. Do you think US restaurants should do more cost cutting in order to increase business? Times are tight.
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With April 15 fast approaching, here’s something for the traveling public to ponder: If we pay all of the taxes we owe the government, shouldn’t online travel agencies?
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When he cancels his trip to Istanbul, Kevin O’Connell tries to get a refund for the taxes and fees on his flight. But his online travel agent, Priceline, is giving him the runaround. How does he get his money back?
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Sometimes, obscure fees and taxes instituted by governments and airlines create a surprising windfall when the overall economic milieu changes. These fees and taxes that might have been expected to pull in normal amounts of revenues can grow enormously as in the case of jet fuel taxes and frequent flier fees.
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It’s no secret that many of today’s younger generation have difficulty with the subject of geography. It appears some of the companies we depend on during our travels are stymied as well.
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