Flight ticket taxes which were first introduced to compensate for revenue lost due to aviation’s VAT exemption can be restructured to deliver greater environmental benefits, a new independent study has found. From taxing the carbon content of fuels to charging planes based on their fuel efficiency, EU governments have several options to encourage airlines to reduce their environmental impact while still raising money to allow tax cuts for citizens and improve public services, the report for green transport group Transport & Environment (T&E) said. More than half the EU aviation market is subject to ticket taxes.

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Source: transenv-pr