Air Passenger Duty tagged posts

UK Not Swayed on Departure Tax

June 8, 2012 International TaxationNew Zealand Taxation

Lufthansa A340-300The UK is unlikely to reduce its departure tax for long haul flights, despite an appeal from the Prime Minister of New Zealand.

Earlier this week the Prime Minister John Key said that there is little chance that the UK would back down over its recent hikes to departure taxes, which are expected to have a strong negative effect on the number of UK tourists coming to New Zealand.

John Key was scheduled to meet with the Prime Minister of the UK David Cameron on June 5th, and was expected to raise the issue of the UK’s departure tax and the adverse affect that the charge will have on the number of tourist who will see New Zealand as a viable tourist destination.

Following the meeting the New Zealand Prime Minister indicated that it is unlikely that the tax would be removed, saying “…I think in...

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Australian Departure Tax Could Hurt NZ

May 16, 2012 International TaxationNew Zealand Taxation

Come Fly with MeAustralia’s recent hike to the rate of departure tax could reduce the number of Australian tourists coming to New Zealand, and the New Zealand tourism industry is calling for political assistance on the issue.

On May 1th the Tourism Industry Association New Zealand (TIA) called on Prime Minister John Key voice his concerns to the Prime Minister of Australia Julian Gillard regarding the recent increase to Australia’s high level of departure tax and its potential negative effect on the number of Australian tourist coming to New Zealand.

Last week the Australian government announced that from July 1st the departure tax charged on anyone leaving Australia would be raised from AUD 60 per person to AUD 55 per person, equivalent to a 17 percent hike.

The TIA is concerned that the increase will h...

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Taxes Push Air NZ to Cut Flights

December 14, 2011 New Zealand Taxation

Flight Choreography
The national airline carrier Air New Zealand is looking at cutting flights to London, following 6 months of losses and due to the upcoming increases to the tax rate for passengers departing the UK.

Air New Zealand is considering cut backs to its international long haul operations, with the company’s flagship flight to London already facing the prospect of being axed. The company says that the upcoming UK air passenger duty is also contributing to the potential decision.

Under recently instated rules, from April 2012 economy class passengers flying from the UK to New Zealand will face a departure levy of GBP 92, compared to the GBP 85 they are facing now. Commenting on the effect of the tax, Brent Thomas, director of House of Travel, said that a family flying from Europe could save over ...

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John Key to Attempt Departure Tax Negotiation

January 17, 2011 International TaxationNew Zealand Taxation

Long haul, 8 Sept. 2008The New Zealand Prime Minister will soon conduct talks with the UK Foreign Minister, in hopes of addressing the Britain’s high airport departure tax.

On January 16th the Prime Minister of New Zealand John Key indicated that he will attempt to persuade British Foreign Minister William Hague to reconsider the UK’s upcoming airport departure tax. The Prime Minister believes that the tax could be especially harmful to New Zealand’s tourism industry, and even undercut the economic impact of the upcoming Rugby World Cup.

The British Foreign Minister is expected to arrive in New Zealand on January 20th, along with the Defense Secretary Liam Fox. The visit will last two days and is expected to consist of several ceremonial visits, along with numerous political discussions...

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