Re:Quantum Air buys Bye's electric airplanes
by iancmceachern on Sunday August 25, 2019 @12:09PM
(#20793710)
Why is airline fuel untaxed?
Re:Quantum Air buys Bye's electric airplanes
by sokoloff on Sunday August 25, 2019 @12:35PM
(#20793870)
I assume because the feds calculated that they can collect more revenue by taxing elements of the tickets rather than the fuel, but I really don't know.
(Note that some states do tax airline jet fuel and some airports assess a flowage fee per gallon [which is for practical purposes equivalent to a sales tax].)
Re:Quantum Air buys Bye's electric airplanes
by benj111 on Sunday August 25, 2019 @12:50PM
(#20793953)
Airline jet fuel duty is covered by international agreements I think, presumably to facilitate trade.
I don't know if that also applies to purely domestic use though. Maybe that's how states can impose a tax?
General aviation 100LL ("avgas") fuel is taxed federally at $0.191/gallon (or $0.335/gallon for certain ownership structures).
General aviation jet fuel is taxed at $0.219 (to as much as $0.244) per gallon.
Highway fuel is taxed federally at $0.184/gallon (slightly less than avgas).
Electric aircraft are not poised to disrupt the jet-fuel burning sector of aviation. The aircraft in this article will be competing against aircraft using taxed fuel (100LL).