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Delta and Tax Break at ATL ? Is it a Subsidy ?

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Delta and Tax Break at ATL ? Is it a Subsidy ?

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Old Feb 28, 2015, 10:47 pm
  #1  
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Delta and Tax Break at ATL ? Is it a Subsidy ?
I thought Delta is against subsidy...


Lawmakers may end tax break on jet fuel, to Delta's dismay. Some Ga. lawmakers back ending tax break on jet fuel, setting up face-off with Delta Airlines.

Delta Spokesperson:

"Delta spokesman Trebor Banstetter said Thursday that lawmakers risk the Atlanta airport's competitive status.

"If approved, this measure would put Hartsfield-Jackson Atlanta International Airport at an economic disadvantage by making aviation fuel taxes in Georgia some of the highest in the industry," Banstetter said, citing Georgia's #11 jet fuel tax ranking by the Airlines for America trade organization."

More.. Here..

http://finance.yahoo.com/news/lawmak...162114013.html
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Old Mar 1, 2015, 6:08 am
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DL is following US/AA's lead in CLT. US/AA has been lobbying the state of NC to keep its tax break on jet fuel to keep CLT's status as a hub as profitable (or some other similarly lame excuse), and the indications are that the NC General Assembly is willing to go along with the strongarm robbery...errrr...lobbying.
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Old Mar 1, 2015, 6:12 am
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I'm confused. The Mouth-of-the-South told us that only the Gulf 3 airlines get subsidies and tax breaks.
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Old Mar 1, 2015, 6:18 am
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Originally Posted by SFO777
I'm confused. The Mouth-of-the-South told us that only the Gulf 3 airlines get subsidies and tax breaks.
My thoughts exactly. Plus, I hope GA plays the game on DL that DL plays on it's faithful customers. Sock it to them, because GA knows DL won't be going anywhere from ATL anytime soon.
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Old Mar 1, 2015, 6:24 am
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Originally Posted by fti
Plus, I hope GA plays the game on DL that DL plays on it's faithful customers. Sock it to them, because GA knows DL won't be going anywhere from ATL anytime soon.
Indeed. Perhaps raise taxes even more?
How about removing the jet fuel sales tax chart and having an unpublished fuel tax that varies according to whatever the state feels they need that month?
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Old Mar 1, 2015, 7:15 am
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Originally Posted by SFO777
Indeed. Perhaps raise taxes even more?
How about removing the jet fuel sales tax chart and having an unpublished fuel tax that varies according to whatever the state feels they need that month?
+1

Hypocrisy from DL management? Why, I never...
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Old Mar 1, 2015, 7:50 am
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This issue is complicated by the fact that FAA recently ruled that state aviation taxes can only be used for aviation purposes. Most of this money is just going to go to small general aviation airports. Why should commercial flyers who will never step foot on these airports subsidize rich doc's and their Cessna's?
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Old Mar 1, 2015, 11:31 am
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Maybe DL could move their hub from ATL to RDU since CLT is already taken. There's also GSP if SC i willing to compete with NC.
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Old Mar 1, 2015, 12:59 pm
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While I think DL can be called to the mat for many things, ending or reducing taxes not generally applied is not a subsidy. Look up the definition of a subsidy...its a grant not a tax reduction.
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Old Mar 1, 2015, 1:48 pm
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So why don't I get the taxes back when I cancel a ticket - I only get a credit to be used on a future flight. Does DL keep the taxes or send them to the feds for a flight not taken?
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Old Mar 1, 2015, 1:50 pm
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Originally Posted by fti
My thoughts exactly. Plus, I hope GA plays the game on DL that DL plays on it's faithful customers. Sock it to them, because GA knows DL won't be going anywhere from ATL anytime soon.
It sucks to be a 'hub captive' doesn't it DL.
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Old Mar 17, 2015, 2:19 pm
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New link: http://wjcl.com/2015/02/28/lawmakers...deltas-dismay/
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Old Mar 17, 2015, 3:31 pm
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Originally Posted by SFO777
Indeed. Perhaps raise taxes even more?
How about removing the jet fuel sales tax chart and having an unpublished fuel tax that varies according to whatever the state feels they need that month?
wont happen because our govt has no balls
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Old Mar 17, 2015, 4:13 pm
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Originally Posted by MSPeconomist
Maybe DL could move their hub from ATL to RDU since CLT is already taken. There's also GSP if SC i willing to compete with NC.
Or one of those other cities ... what are they now? Oh yes, MEM and CVG. I hear gates are available.
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Old Mar 17, 2015, 4:14 pm
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Originally Posted by Bond1600
I thought Delta is against subsidy...


Lawmakers may end tax break on jet fuel, to Delta's dismay. Some Ga. lawmakers back ending tax break on jet fuel, setting up face-off with Delta Airlines.

Delta Spokesperson:

"Delta spokesman Trebor Banstetter said Thursday that lawmakers risk the Atlanta airport's competitive status.

"If approved, this measure would put Hartsfield-Jackson Atlanta International Airport at an economic disadvantage by making aviation fuel taxes in Georgia some of the highest in the industry," Banstetter said, citing Georgia's #11 jet fuel tax ranking by the Airlines for America trade organization."

More.. Here..

http://finance.yahoo.com/news/lawmak...162114013.html
You do understand that a tax break

that applies to everyone

isn't a subsidy right?

Now interest free loans with no repay date or just plain cash injections like the ME3 get, that is a subsidy.
Originally Posted by SFO777
I'm confused. The Mouth-of-the-South told us that only the Gulf 3 airlines get subsidies and tax breaks.
Not a subsidy and I don't believe Delta has ever said they don't have tax breaks.

but hey, why not just jump in here because its Delta anyways. It flyertalk after.
Originally Posted by DL2SXM
wont happen because our govt has no balls
If you mean the State of Georgia its not about having balls, its about not being stupid.
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