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Aloha & Hawaiian Seek State Tax Break  
User currently offlineLaxintl From United States of America, joined May 2000, 24869 posts, RR: 46
Posted (7 years 5 months 3 weeks 3 days 3 hours ago) and read 1345 times:

Hawaiian, Aloha ask for tax break
Tuesday, February 6, 2007

Hawaiian Airlines and Aloha Airlines are seeking state excise tax breaks that could total $12.8 million a year.

The state Senate Committee on Transportation and International Affairs yesterday advanced a bill that would exempt aviation fuel sold on O'ahu for interisland travel from state general excise and use taxes. The airlines contend Senate Bill 1034 will level the playing field between interisland carriers and carriers that fly from O'ahu to the Mainland and international destinations.

Currently, flights that purchase fuel in Honolulu International Airport's foreign trade zone aren't subject to state taxes, if they fly out of the state. Interisland carriers Aloha and Hawaiian want the same tax break. The biggest beneficiary of the tax break would be Aloha Airlines, which today said it would save $2.1 million a year.


Full article at;
http://the.honoluluadvertiser.com/ar...le/2007/Feb/06/bz/FP702060318.html


From the desert to the sea, to all of Southern California
4 replies: All unread, jump to last
 
User currently offlineIkramerica From United States of America, joined May 2005, 21474 posts, RR: 60
Reply 1, posted (7 years 5 months 3 weeks 3 days 3 hours ago) and read 1334 times:

Seems fair. Go should be exempt too, and Island Air, or other carriers shouldn't be exempt.


Of all the things to worry about... the Wookie has no pants.
User currently offlineLTBEWR From United States of America, joined Jan 2004, 13040 posts, RR: 12
Reply 2, posted (7 years 5 months 3 weeks 3 days 3 hours ago) and read 1327 times:

As inter-island air travel is such a critical part of the tourist industry and general life in Hawaii, the state legisgature there should lower or remove the aircraft fuel taxes to recognize the costs to major employers there.

User currently offlineAloha73G From United States of America, joined Jul 2003, 2356 posts, RR: 4
Reply 3, posted (7 years 5 months 3 weeks 3 days 3 hours ago) and read 1322 times:

It makes perfect sense. I hope it passes.

Quoting Ikramerica (Reply 1):
Seems fair. Go should be exempt too, and Island Air, or other carriers shouldn't be exempt.

All carriers flying interisland would be exempt. Just to be clear, AQ and HA are not saying go! shouldn't be exempt....they are just the two carriers which are pushing the measure publicly.

-Aloha!



Aloha Airlines - The Spirit Moves Us. Gone but NEVER Forgotten. Aloha, A Hui Hou!
User currently offlineLaxintl From United States of America, joined May 2000, 24869 posts, RR: 46
Reply 4, posted (7 years 5 months 3 weeks 3 days 3 hours ago) and read 1322 times:

I suppose its up to the Hawaiian consumer how much they want to subsidize airlines.

However this type of dual pricing is quite common around the world with domestic flights being subject to fuel taxation, while international or overseas flights in Hawaii's case are exempt , hence the term "bonded" and "non-bonded" fuel in the US.

And yes, it seems Go! should be able to take advantage of this also if it passes.



From the desert to the sea, to all of Southern California
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