Airlines for America (A4A), a major US air travel industry trade group, opposed the doubling, followed later by tripling, of the Transportation Security Administration (TSA) passenger security tax in the 2013 budget resolution passed by the US Senate in mid-March.
The resolution immediately doubles the TSA passenger security tax, from the current $2.50 one-way, to $5 per one-way trip and later triples it to $7.50 per one-way trip by 2017.
A4A has stated that the US airlines, passengers and shippers paid a record $2.3 billion in TSA taxes and fees in 2012 besides paying over $19 billion in federal aviation taxes. It added that, for a typical $300 roundtrip ticket within the United States, about $61 goes “straight to Washington” in federal taxes.
The increase will cost airlines and their customers $2.5 billion per year over the next 10 years, according to A4A. Our guess is that passengers will see this increase more than the airlines will absorb it.
We’re not sure of the ins and outs of the Senate’s budget or how it affects sequestration, but it does seem a bit odd to receive news that the TSA tax will be minimally doubled at the same time the TSA has been advising travelers that lines through airport security will be longer due to hiring and overtime freezes. Do you agree?