German Government announces revision to air tax proposal

Germany announced a revised plan for a new tax on air travel, proposing a three-tier system of charges, instead of the two-tier proposal (Reuters, 23-Jul-2010). The tax will be levied at EUR9 per ticket for short-haul sectors, EUR25 for medium-haul flights and EUR40 for long-haul flights. The Government expects to generate approximately EUR1 billion in revenue p/a from the new tax.