No adjustment for transfer passengers and AirRail passengers.
The Dutch cabinet is taking steps to increase the air passenger tax for passengers traveling with private jets. This will be achieved by reducing the current weight limit, which will result in an air passenger tax for 82% of private jet flights. Passengers on 60% of these flights are currently taxed. The new measure will take effect from 1 January 2025.
The air passenger tax, introduced in 2021, is an attempt by the government to better tax the environmental damage and nuisance caused by flying. At the request of the House of Representatives, the government has looked at three possible additions to the increased air passenger tax, including the application of a lower weight limit. This reduction appears to be doable, resulting in more private jet passengers paying tax. The expected result of this measure is that the number of taxed flights will increase from 9960 (60%) to 13.612 flights per year (82%).
The choice for this new limit is to align with the weight limit of the European emissions trading system (EU ETS), so that the measure remains easy to implement. It has minimal impact on airports as the change can be easily implemented in their existing systems. This change will be included in the 2025 Tax Plan.
In addition, the government has investigated the possibility of taxing transfer passengers and exempting AirRail passengers from air passenger tax. While taxing transfer passengers could result in higher tax revenues and reduced CO2 emissions, it could also lead to a decrease in intercontinental connections to Asia and North America from the Netherlands, with potential economic consequences for Schiphol's hub function. The cabinet has therefore decided, as the only member of the European Union, not to introduce an air passenger tax for transfer passengers.
On the other hand, it has been decided that it is not feasible to make an exception for AirRail passengers, given the feasibility and enforceability. That is why the government wants to discuss the air passenger tax and the level of the rates at a European level.
