Is this just a money grab by DL?
#16
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Join Date: Dec 2009
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Sometimes the corporate bootlicking on here gets to be too much. Can everyone give the OP a break, come on it was a fair Q.
#17
Join Date: Apr 2011
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#18
Join Date: Apr 2001
Location: Arlington, VA USA
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Several years ago when I transferred the AmEx MR points to Air Canada, I was told that the exise tax applied only to US carriers. Since then I've always transferred only to non-US carriers.
#19
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Some of us dont like accusing people/companies of being shady/immoral/unethical. OP implied that was the case simply cause AMEX charged a federal tax.
#20
#21
Join Date: May 2004
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There is a 7.5% federal excise tax when purchasing miles from a US airline. Amex is just passing the tax on, where most other programs would just pay it.
Car companies often hide this tax in if you report your US based awards program. I've regularly seen a flat charge of $0.50 even if you only get like 50 miles. That is totally a rip off. Hence, I credit those miles to my useless Virgin Atlantic account.
Incidentally, if the tax is $0.0006 per mile, then we know that AMEX buys miles at $0.008 from the airline!!
https://viewfromthewing.boardingarea...-tax-refunded/
Car companies often hide this tax in if you report your US based awards program. I've regularly seen a flat charge of $0.50 even if you only get like 50 miles. That is totally a rip off. Hence, I credit those miles to my useless Virgin Atlantic account.
Incidentally, if the tax is $0.0006 per mile, then we know that AMEX buys miles at $0.008 from the airline!!
https://viewfromthewing.boardingarea...-tax-refunded/
#22
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A gov't mandated tax that *only* AMEX charges. So the gov't only taxes AMEX and not Chase or Citi? Never been charged a penny transferring Chase UR's to UA.
#23
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I meant absolutely no accusation here.
#24
Join Date: Apr 2011
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You sure are putting a lot of words into the original posters mouth. Maybe I am not as sensitive as you and didn't take his last sentence to mean any of what you are claiming.
#25
Join Date: Mar 2010
Programs: DL PM, Bonvoy Gold
Posts: 8,414
Agreed, but the Corporate Apologists Brigade can't help themselves ( and it remains totally unclear to me, after years on FT, what type of questions these self appointed moderators would view as acceptable) .
#26
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Where have any of us done as you say? If OP post was to be taken how posted all companies are money grabbers. They all charge taxes when required. I know it's quite shocking. They follow the law but are money grabbers for doing so.
#27
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They don't all charge taxes when required. I've posted several times now that Chase doesn't charge any taxes when transferring points to UA. So how is that true?
#28
Join Date: Dec 2014
Posts: 1,880
The question’s been answered and now this has become a food fight. Not sure there’s anything (productive) left to add here.
#29
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Geez you guys act like the OP insulted your mothers.
Is DL REALLY that special to you?
Is DL REALLY that special to you?
#30
Moderator, Delta Skymiles and Mileage Run
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I believe this thread has reached a good conclusion and is now closed. Feel free to PM me if you feel otherwise.
Ryandc99, Moderator, Delta Air Lines
Ryandc99, Moderator, Delta Air Lines