The U.S. Congress has reached an agreement to temporarily extend full funding for the Federal Aviation Administration (FAA) through September 16 and as a result, the FAA authority to collect federal aviation taxes will be reinstated.
For tickets sold beginning 12:01am on Monday August 8 the following taxes will apply:
• The 7.5% tax generally applicable to domestic transportation (as well the 7.5% tax on amounts received from the sale of "frequent flyer miles".)
• The $3.70 domestic segment tax.
• The $16.30 international arrival/departure tax.
• The $8.20 departure tax for flights between Alaska/Hawaii and the mainland US.
The I.R.S. has also put an end to the speculation about tax refunds for travelers who may have paid taxes and traveled while FAA's mandate had expired, stating "there will be no refund".
www.premieretravel.com
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