Originally Posted by
full of luv
The big rub in the US is how much to tax jet fuel.
Some states tax it as the same of gasoline which can be argued isn't exactly fair as very little "road use" is associated with it.
In these states they sometimes adjust the tax load on jet fuel down.
Some states are so expensive on jet fuel taxes that airlines will actually tanker fuel to avoid that extra expense.
If your airline has a hub in one of these states, you use a preponderance of the jet fuel sold in the particular state.
So you say that Delta receives a "tax break" because the state set the jet fuel tax at a lower level at some point.
Probably the same in the other states with hubs, it's usually done because the states see the hub status as a large economic benefit and they want to maintain that status vice make it economical for the airlines to move hub operations to other locations.
So your argument is that the states should tax the heck out of aviation fuel/operations because unless the tax load is unbearable, it must be a subsidy?
What would be really interesting to know would be the number of jobs that could potentially be lost in the ruckus. Those monies will come from somewhere. Could be jobs, could be in increased fares. The guarantee is that none of the above mentioned companies will "eat" those increases. Somebody will pay. Yeah, let's hear it for the politicos sticking it to corporate America.