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Rep. Graves Introduces Legislation to Make Hidden Taxes and Fees on Airline Tickets Transparent to Consumers


Washington, January 30, 2012 -

Rep. Tom Graves (R-GA-09) announced today he will introduce legislation to cancel a Department of Transportation (DOT) rule that hides government taxes and fees in airline ticket pricing.  The Travel Transparency Act states passengers have the right to a clear, separate disclosure of the fees and taxes they pay on each airline ticket. 

“The federal government should not be inserting itself in the private sector to limit consumers’ ability to see how much they’re getting taxed.  If the American people can’t see these costs clearly, I fear it will be easier these fees and taxes to be raised without their knowledge.”

“If the goal of the DOT’s rule is to prevent companies from deceiving passengers about the total cost of their ticket, why is the department mandating that airlines hide the taxes, surcharges, and government fees in the fine print?  Transparency and honesty in ticket pricing should apply across the board – no matter if the cost charged to Americans is in the form of airfare, taxes, or government fees.    Let’s list the various charges, line by line.  What’s wrong with letting the flying public know where their money is going?  Making these taxes and fees invisible or hard to find will no doubt increase advertised airfare prices and decrease transparency.  And, the taxpayers will be left holding the bag.”

Background:
Recently, the DOT changed the rules that apply to air travel pricing.  Until January 26, 2012, most airlines advertised the cost of airfare, excluding additional federal fees and taxes.  The DOT’s new rule now requires any companies selling airline tickets to include any additional taxes and fees in the total advertised price of the fare.  Unlike other travel expenses, like hotel rooms and rental cars, where additional costs are listed line by line on the traveler’s bill, the DOT’s rule change means companies are required to bury the cost of taxes and fees in fine print.  Airline passengers already pay at least 13 different taxes and fees on the average plane ticket.

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