Jul 31, 2009

As much as 52% of a Dominican airfare is tax

Dominican Republic is one of the region’s nations were an airfare to anywhere in the world cuts a deep hole in passengers’ pockets, as the tax slapped on a ticket’s real cost is as high as 52%.

The tax on airfares is so voracious it gobbles up seasonal specials by airlines, whose prices always skyrocket even when they are bought abroad, because the Government charges the airlines a fee per passenger entering or leaving the country, regardless of origin.

In the purchase of each ticket the flyer pays a tax for the Tourism Ministry, the Civil Aviation Institute, the Airport Security Corp, the Air Force, the Airports Department and the airports management company Aerodom.

In addition to those fees collected by decree, each airfare also pays 16% ITBIS Tax and another levy for issuing the ticket.

A Santo Domingo-Miami roundtrip fare for September 22 reserved July 2 cost in an airline US$363.46, US$198.00 of which is the basic cost, US$31.68 is Itbis, a US$20 tax is applied to the exit and US$113.72 are aeronautical fees.

Another Santo Domingo-New York roundtrip airfare reserved yesterday to fly September 19, costs US$208, but the taxes are US$167, whereas the ticket for a Santo Domingo-Paris flight reserved yesterday for the same date costs RD$21,564, whose taxes are RD$17,904.

The same occurs in the Santo Domingo-Ft. Lauderdale roundtrip airfare reserved for that date, which cost US$265.68, with US$138.80 in fees and taxes, or 52% of the cost.

Central Bank figures show that more than four million passengers arrived in the country by air between January and November, of which 3,140,253 were tourists or nonresident foreigners, or 87.1% of the total.

SOURCE: diariolibre.com












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