WASHINGTON, DC Airlines for America (A4A), the industry trade organization for the leading US airlines, today applauded Senate passage of bipartisan legislation to protect airline customers from higher passenger security taxes.
Last year, as part of the Balanced Budget Act of 2013 to reduce the federal deficit, Congress simplified the passenger security tax structure by establishing a flat $5.60 fee per one-way trip, regardless of the number of enplanements. Notwithstanding the intent of Congress, statutory language and long-standing regulatory precedent, the Administration, since July 21, 2014, has imposed the $5.60 tax for each stopover (a break in travel of more than four hours between two domestic flights), which has disproportionately hurt consumers from small and rural communities who must often use more one-way trips to reach their final destination. In September, the House unanimously (423-0) passed companion legislation (H.R. 5462) to restore the round-trip cap on the tax, thereby saving passengers over $60 million annually.
The federal government is already collecting an additional $1.2 billion in passenger security taxes annually – on top of the near-record $2 billion in security taxes paid last year.