Oct 31. Airlines are blasting a new tax proposed by the Argentine government that will once again increase airfares.
The so-called “airline security tax” of ARS 250 ($1.60) was approved by the lower house of the country’s legislature on 25 October. It is slated to help finance Argentina’s Airport Security Police (PSA). It’s the eighth such additional fee the country adds to every airline ticket sold.
“This recurring policy of taxing the industry is becoming unsustainable,” said Peter Cerda, regional vice-president for the Americas at airline industry organization IATA on 28 October.
He calls the new tax “a crippling blow” to the industry and travellers.
“As an industry we have always demonstrated our commitment to collaborate with the government to build a post-pandemic sustainable aviation sector in Argentina,” he adds. “We had forecast that we could reach 2019 traffic levels by 2024, but rather than facilitating this process, the government is just placing more rocks onto an already rocky road.”
Regional industry association ALTA echoes that sentiment, and says the new levy will dissuade passengers and hurt tourism.
Source: Flight Global