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Old February 10th, 2003, 09:06   #5
Doug Taylor
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Join Date: Dec 1969
Location: KSDL
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Default Re: Fortune\'s idea on fixing the airline crisis

Actually, the government taxes the HELL out of the consumer.

Let's look at a $81.86 fare on Southwest from Phoenix to Orange County (my way of showing mad props to my SoCal Jetcareers posse);

The base fare is $81.86 which goes to Southwest. But the feds want $9.14 in taxes and another $7.00 for the passenger facility fee and their security fee.

So the resulting fare is $98 which is roughly (no access to a calc) a 20% tax on the airline ticket.

These 20% taxes are on top of federal and state taxes on fuel (which I heard, but haven't found actual data on) that I hear are around 40% of the cost of 1 gallon of Jet-A.

So bums like McCain say that guys like you and I are holding back the financial viability of the airline business with high wages, but if I got 20% of ticket sales and 40% of fuel sales the way him and his croanies in DC are, I'd have retired by now!
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