Re: incl taxes

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----- Original Message -----
From: "Alireza Alivandivafa" <DEmocrat2n@xxxxxxx>
To: <AIRLINE@xxxxxxxxxxxxxxxxx>
Sent: Saturday, November 22, 2003 13:03
Subject: Re: [AIRLINE] incl taxes


> In a message dated 11/21/2003 11:54:00 PM Pacific Standard Time,
> damiross2@xxxxxxxxxxx writes:
>
> << Just re-read what you wrote, Alireza.  The only tax that has been in
>  existence for a long time is the percentage tax.  The segment tax is
fairly
>  recent - within the past 3 or 4 years. >>
>
> The "segment" tax, or PFC, is the way airports keep those massage parlors
in
> terminals that you all seem to love.  Some airports charge as little as 3
> dollars for that, and you get a lot for your money.  It also means that
users pay,
> so bonds and the like don't have to be issued for nearly as much money

Do you really follow the airline industry like you claim, Alireza? The
segment tax and the PFC (Passenger Facility Charge) are TWO DIFFERENT
THINGS!

Just out of curiosity. When you fly, does someone else pay for your ticket?
If so, then I can see why you aren't upset at the outrageous taxes charged
on tickets.  Anybody with an IQ of at least his shoe size should be outraged
at the taxes the government is charging.

Segment Fee
The segment, as I mentioned, is a fairly new tax.  It is charged for each
segment a passenger takes.  If I fly from OAK to JFK nonstop, it's $3. if
the aircraft stops at DEN and STL, the charge is $9 (3 segments: OAK/DEN,
DEN/STL, STL/JFK times $3 each segment.= $9). The segment tax started in
1999 at $2.25 per segment.  In 2002, it was increased to $3.  Future
increases (and you know there will be!) are tied to inflation.

PFC
(from http://www1.faa.gov/arp/financial/pfc/index.cfm?nav=pfc) "The
Passenger Facility Charge (PFC) Program authorizes the collection of PFC
fees up to $4.50 for every enplaned passenger at commercial airports
controlled by public agencies. The fees are then used by the airports to
fund FAA-approved projects that enhance safety, security, or capacity;
reduce noise; or increase air carrier competition."

In other words, it DOES NOT FUND massage parlors (which, by the way, I've
never seen at an airport). And, guess what? Because the maximum is $4.50 and
there's hardly a government bureaucrat who doesn't like high taxes, there's
200 out of 341 locations with a PFC charge the maximum.  The average is
around $3.80.

Concessions at airports are revenue generators, not tax recipients.

David R
http://home.attbi.com/~damiross
http://home.attbi.com/~damiross/books.html

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