Revenue have published an Air Travel Tax Guide to coincide with the coming into force of the tax on 30 March 2009. In ICAI Tax of 16 February we advised that Revenue had published Guidance Notes on the new Air Travel Tax, this had been in the form of Questions and Answers. The Questions and Answers are now included in the Appendix to the Guide.
While in tax technical terms the new tax will be something of a minority sport as the obligation is on the Air Travel Operator to collect it, the Guide is self-explanatory for anyone who wishes to know more about the tax.
The Guide provides clarity that every departure of a passenger on an aircraft from an Irish airport on or after 30 March 2009 will be subject to the tax. The tax applies as and from that date irrespective of when a passenger booked or paid for the flight.
New to the Guide is the announcement by Minister Lenihan on 25 February 2009 he intends to bring forward legislation to exempt from Air Travel Tax those airports that had less than 50,000 departing passengers in the previous calendar year. Revenue has agreed to apply the revised 50,000 departing passenger exemption threshold pending the necessary legislative change being enacted. ATT will not apply, therefore, to departures from Donegal Airport, Carrickfinn, Co. Donegal, or from Sligo Airport, Strandhill, Co. Sligo.
The Air Travel Tax Guide is available here