Germany will raise climate taxes on air tickets by up to 75% next year
This post contains references to products from one or more of our advertisers. We may receive compensation when you click on links to those products. Terms apply to the offers listed on this page. For an explanation of our Advertising Policy, visit this page.
Germany is set to introduce additional taxes on air travel from April 2020, in a push to encourage travelers to use trains rather than planes.
The taxes will depend on the length of the flight and will be especially noticeable on short-haul flights, but long-haul passengers will feel the pinch too. The tax on each ticket from Germany to/from the U.S., for example, is set to rise by 15 euros per ticket, or about $17, to the equivalent of $66.
The charges, as reported by Bloomberg News, are as follows:
- Domestic German and intra-European flights to and from Germany — increasing 75% from €7.50 to €13.03 ($14.5)
- Mid-haul flights to and from Germany — increasing from €23.43 to €33.01 ($36.7)
- Long-haul flights to and from Germany — increasing from €42.18 to €59.43 ($66)
According to German travel news site Reise Reporter, long-haul flights are defined for the purposes of this tax as above 6,000 kilometers. It follows that only flights to Boston, which is about 5,900 kilometers from Frankfurt, would be taxed at the mid-haul rate; all other U.S. destinations currently served from Germany are above the 6,000 km limit.
Bloomberg also reported that the practice of dumping excess capacity by selling airline seats below cost will be outlawed, although it is not clear how the government would determine what amount is below cost. This may see result in fewer sale fares from low-cost carriers like Ryanair, which regularly sells European flights from just a few euros.
Conversely, the value-added tax on rail tickets will decreased by 12 percentage points to just 7%.
Ryanair has previously spoken out against the plan, saying it will feel the brunt of the increased taxes far more as a low-cost, short-haul carrier. On the other hand. Lufthansa CEO Carsten Spohr has described Ryanair’s cheap sale fares as “economically and ecologically irresponsible”.
For passengers, it is notable that the taxes apply to both cash fares and points / miles redemptions.
Featured image by Boris Roessler/picture alliance via Getty Images
Sign-up Successful!
Welcome to The Points Guy!
Earn 90,000 bonus miles after you spend $3,000 in purchases on your new Card in your first 3 months. Offer ends 8/3/2022.
With Status Boost™, earn 10,000 Medallion Qualification Miles (MQMs) after you spend $25,000 in purchases on your Card in a calendar year, up to two times per year getting you closer to Medallion Status. Earn 3X Miles on Delta purchases and purchases made directly with hotels, 2X Miles at restaurants and at U.S. supermarkets and earn 1X Mile on all other eligible purchases. Terms Apply.
- Limited Time Offer: Earn 90,000 bonus miles after you spend $3,000 in purchases on your new Card in your first 3 months. Offer ends 8/3/2022.
- Earn up to 20,000 Medallion® Qualification Miles (MQMs) with Status Boost® per year. After you spend $25,000 in purchases on your Card in a calendar year, you can earn 10,000 MQMs up to two times per year, getting you closer to Medallion® Status. MQMs are used to determine Medallion® Status and are different than miles you earn toward flights.
- Earn 3X Miles on Delta purchases and purchases made directly with hotels.
- Earn 2X Miles at restaurants worldwide including takeout and delivery in the U.S., and at U.S. supermarkets.
- Earn 1X Miles on all other eligible purchases.
- Receive a Domestic Main Cabin round-trip companion certificate each year upon renewal of your Card. Payment of the government imposed taxes and fees of no more than $80 for roundtrip domestic flights (for itineraries with up to four flight segments) is required. Baggage charges and other restrictions apply. See terms and conditions for details.
- Enjoy your first checked bag free on Delta flights.
- Fee Credit for Global Entry or TSA PreCheck® after you apply through any Authorized Enrollment Provider. If approved for Global Entry, at no additional charge, you will receive access to TSA PreCheck.
- Enjoy an exclusive rate of $39 per person per visit to enter the Delta Sky Club® for you and up to two guests when traveling on a Delta flight.
- No Foreign Transaction Fees.
- $250 Annual Fee.
- Terms Apply.
- See Rates & Fees
Disclaimer: The responses below are not provided or commissioned by the bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by the bank advertiser. It is not the bank advertiser’s responsibility to ensure all posts and/or questions are answered.
Editorial Disclaimer: Opinions expressed here are the author’s alone, not those of any bank, credit card issuer, airlines or hotel chain, and have not been reviewed, approved or otherwise endorsed by any of these entities.