FlyerTalk Forums - View Single Post - Crazy pricing on LAN
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Old Feb 1, 2013 | 1:04 am
  #15  
miikkak
 
Join Date: Jul 2012
Location: Helsinki
Programs: A3 Gold, BA Silver
Posts: 1,014
Originally Posted by andreadbc
I priced it to check it out and I do see an extra tax charged on EZE-LAX-EZE, but it's listed as
Not sure if it's some kind of VAT, but it's 5% of the pre-taxes total (fare + fuel surcharge).
The comment was meant to be about flights originating from South America. In Argentina it's not very relevant issue but in other markets like in Peru VAT is 18%. In some cases there are other extra taxes when the trip originates from South America like Colombian impuesto del timbre. Anyway, it seems that most airlines use blue rate for pricing flights originating from Argentina as most of them are sold in Argentina.

Another issue might have something to do with Christina & Aerolineas. They have been blocking increase in offer which gives airlines much more pricing power (anyone remembers what happened to Lima-Rosario flights?). If prices are high enough, foreigners can chose not to travel to Argentina and spend holidays in for instance in Brazil but for Argentinians the question is more like whether or not to travel abroad (or take the bus to Chile)...
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