Obama shaking down airlines now.

Airlines issue warning about effects of new taxes


October 17, 2011|By Gregory Karp | Tribune reporter


Airlines with a big presence in Chicago say proposed new federal taxes aimed at reducing the federal budget deficit could cost jobs and limit flights to and from smaller markets in Illinois.

Airlines are among the least profitable industries in America and already pay 17 different taxes and fees, officials from United Airlines and American Airlines said Monday during an editorial board meeting with the Chicago Tribune.

“The impact will certainly be felt here in Chicago and the state of Illinois,” said Will Ris, senior vice president of government affairs for American Airlines.

Some 10,000 airline industry jobs across the U.S. could be cut within a year as a result of the tax, according to the airline industry group Air Transport Association. Wider job losses – in aircraft manufacturing, airports and other supporting businesses – could total 181,000, the association claims.

Airline taxes proposed by the White House and being considered by a Congressional committee include a tax of $100 per take-off for both passenger and cargo flights. A second tax would be on airfares, doubling the current $2.50 passenger security tax to $5 and eventually – by 2017 – to $7.50.

So, for travelers whose airfares are already 20 percent taxes and fees, roundtrip fares might rise about $15, if the airlines passed through all of the taxes to consumers.


http://articles.chicagotribune.com/...can-airlines-airline-security-united-airlines

 

More jobs out the door.

The lunacy is stunning. The more they try to increase revenue, the further they reduce it.

 

There was an aritcle that said it can cost up to $400 to check a bag on international flights. At least the 1% will still be able to fly.

 

So $15 altogether. I can handle it.

 

What about the poor?

 

Yes, we all can afford a few dollars more in fees. And many people would be willing to pay more taxes.
The question is , Are we getting our monies worth? Is the Government the best vehicle to redistribute wealth? Are they doing a good job?

I believe the Government at this point needs to earn my trust before I vote to send them more money.

 

Says the guy living in Canada!

 

They already lost their jobs--they were union workers. But the good news is that the airlines will probably be laying off more unionized workers. You must be pleased.

 

Oh, would you like me to tell you about the fees I have to pay now so that the government can cover the money it's losing as a result of the Columbia FTA (reduced tariffs)?

 

...in addition to all the existing fees and taxes.
When is enough enough?