Originally Posted by
lkar
Hi -- can you explain the tax reduction on the intra-Europe award redemption?
He is talking abuot Reward Flight Savers (RFS) I believe, that is all.
Where the taxes and surcharges on shorthaul flights are replaced by a flat fee, and it is the same for all flights in that distance band (Zone 1, Zone 2 or Zone 3).
If your account has EARNT an Avios point in the last 12 months, you can book shorthaul redemptions as RFS where the taxes and fuel surcharges are replaced by the flat fee.
If you have NOT earnt one Avios point in the last 12 months, you would be quoted the same number of Avios points, but would have to pay the (generally much higher) taxes and fuel surcharges - and the figure would vary by route.
This is true for all Avios using schemes, so if you had earnt in IB+ in last 12 months, but not BAEC, the results would be different.
As you probably know, any activity earning OR burning Avios points (except Combine My Avios transfers) will keep an account active agaisnt the constantly resetting 36 month expiry, etc. However, to qualify for RFS, you need to have earnt in last 12 months.
Presently, if I search for an intra-Europe award on either BA or IB, I get the same Avios points requirement and the same tax (as opposed to transatlantic, in which case IB is better on tax). Are you saying the intra-Europe tax rate will be better if I buy 1,000 IB Avios in my IB account?
Nothing will change, in your case.
If you had not earn't 1 Avios point in a scheme in the last 12 months, when you look at the shorthaul flights from the scheme, you would be quoted taxes and fuel (etc) surcharges, and it would vary by route.
A reason to keep all Avios using accounts active.