UAs Official Response to HKG Ticketing/IT Error: Redeem @ Correct Amount or Redeposit
Jul 17, 2012, 3:35 pm
#586
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Join Date: Jul 2003
Location: Florida
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Acc
rding to the USeless Today, the DOT said this:I'm not sure what the cash payment part means -- does that refer to the fare component, the tax component, or either? I guess time will tell.
rding to the USeless Today, the DOT said this:I'm not sure what the cash payment part means -- does that refer to the fare component, the tax component, or either? I guess time will tell.If the cash payment only consists to government taxes and fees, it would be a very gray area as the award ticket is considered has "0 value".
Jul 17, 2012, 3:37 pm
#587
Join Date: Jan 2005
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Jul 17, 2012, 3:37 pm
#588
Join Date: Oct 2007
Location: Dubai / NYC
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From the USA Today article...
Bill Mosley, a spokesman for the Transportation Department, says that the department is looking into several complaints it received about the frequent-flier tickets. He says the new rule would apply to frequent-flier tickets, "particularly when they also entail cash payments."
Bill Mosley, a spokesman for the Transportation Department, says that the department is looking into several complaints it received about the frequent-flier tickets. He says the new rule would apply to frequent-flier tickets, "particularly when they also entail cash payments."
Note the IMO I inserted since I should add that since I am not an expert on aviation law like everyone else here, this is just ,my opinion. I will leave the cold hard facts to the experts here
Jul 17, 2012, 3:38 pm
#589
Join Date: Aug 2004
Programs: Marriott Plat
Posts: 946
I'm not usually one to wordsmith (especially with regards to an incomplete quote in a news article), but the statement seemed to say that the rule applied to all FF tickets, not just ones with a cash component.
Jul 17, 2012, 3:42 pm
#590
Join Date: Feb 2010
Location: Vancouver, Canada
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This would be the time you wish your award ticket has a YQ or YR component which is considered cash component by the government, and therefore making the award ticket no longer "free" - now it has "value" so it subjects to 3 more taxes that normally do not apply to the "no value" award ticket... The BA award is a perfect example on this scenario. Or the AA award that includes either a BA flight or an IB flight would also be good examples on this.
If the cash payment only consists to government taxes and fees, it would be a very gray area as the award ticket is considered has "0 value".
If the cash payment only consists to government taxes and fees, it would be a very gray area as the award ticket is considered has "0 value".
In my opinion, taxes/fees are part of "payment", yes? no?
Jul 17, 2012, 3:43 pm
#591
Join Date: Dec 2010
Location: Cedarhurst, NY
Posts: 91
This would be the time you wish your award ticket has a YQ or YR component which is considered cash component by the government, and therefore making the award ticket no longer "free" - now it has "value" so it subjects to 3 more taxes that normally do not apply to the "no value" award ticket... The BA award is a perfect example on this scenario. Or the AA award that includes either a BA flight or an IB flight would also be good examples on this.
If the cash payment only consists to government taxes and fees, it would be a very gray area as the award ticket is considered has "0 value".
If the cash payment only consists to government taxes and fees, it would be a very gray area as the award ticket is considered has "0 value".
Jul 17, 2012, 3:43 pm
#592
Join Date: Jan 2005
Location: DEN
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Contrast this with a hotel award booking..... typically no money is exchanged.
Jul 17, 2012, 3:46 pm
#593
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From the USA Today article...
Bill Mosley, a spokesman for the Transportation Department, says that the department is looking into several complaints it received about the frequent-flier tickets. He says the new rule would apply to frequent-flier tickets, "particularly when they also entail cash payments."
Bill Mosley, a spokesman for the Transportation Department, says that the department is looking into several complaints it received about the frequent-flier tickets. He says the new rule would apply to frequent-flier tickets, "particularly when they also entail cash payments."
Well, I just got a call from United. I figured it could not be about this deal since I didn't "buy" one of these 6 mile tkts. It wasnt about that. The good news is the automated voice told me that flight #50 from EWR-FRA is on time tonight. THE BAD NEWS: I don't have a ticket or a booking for that flight nor have I ever had one 
I thought the call was a mistake but then realized it was probably UA's way of advertising to me that they now FINALLY have a flight that is leaving on time
I thought the call was a mistake but then realized it was probably UA's way of advertising to me that they now FINALLY have a flight that is leaving on time
I assume you checked your reservations online just to make sure that UA (or someone else?) hadn't somehow ticketed/booked you onto that flight.
Last edited by iluv2fly; Jul 17, 2012 at 6:38 pm Reason: merge
Jul 17, 2012, 3:49 pm
#594
Join Date: Oct 2011
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Could someone put in a standard form for filing complaint with DOT?
Jul 17, 2012, 3:50 pm
#595
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It is the YQ / YR the government ruled that they are simply part of the revenues the airlines pocketed, therefore those award tickets are no longer free, so they are subject to the segment fee, the International arrival and departure tax, etc.
This topic has been discussed / debated ad nauseum in the BA forum and occasionally surfaced in the AA forum.
BA continues to wrongfully charge taxes on certain AA flights that do not carry YQ, but flights to/from Caribbeans, making tax collection on such. Someone actually reported that he contacted government agencies (forgot which ones), and eventually got refund on those taxes.
There is a true distinction on whether an award ticket is deemed "0 value" or with value when it comes to taxation purpose. Therefore, the interpretation of "cash component" is a big gray area.
Jul 17, 2012, 3:56 pm
#596
Join Date: Apr 2006
Posts: 1,259
OK, all FT e-lawyers who missed out on the deal, please jump on this and explain why United is right.
Jul 17, 2012, 3:57 pm
#597
Join Date: Oct 2007
Location: Dubai / NYC
Programs: EK-IO, UA-1K2MM, ETIHAD-GOLD, SPG-PLAT LIFETIME, JUMEIRAH SERIUS GOLD
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Not really any more interesting then it was already going to be. Some people will still try to stick it to UA know matter what. It looks like some here think these tickets are their right to have as a way of making up for the crapy service we all have had to live with. The funny part is some of these same people will be back tomorrow, posting away on some other thread about the injustices they have been forced to endure as some of United "best customers". Kind of reminds me of the saying "with friends like these, who needs enemies". Just sub the word "customers" for "friends"
Jul 17, 2012, 3:59 pm
#598
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did someone really book 75 tickets?
Jul 17, 2012, 4:00 pm
#599
Join Date: Feb 2010
Location: Vancouver, Canada
Programs: Hilton G/SPG G/IHG RA/Accor P/Aeroplan Elite/CZ S
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The FAA or IRS dont consider the taxes on the award ticket that is deemed as "0 value" being a cash payment to the airline which is just collecting such on behalf of the government.
It is the YQ / YR the government ruled that they are simply part of the revenues the airlines pocketed, therefore those award tickets are no longer free, so they are subject to the segment fee, the International arrival and departure tax, etc.
This topic has been discussed / debated ad nauseum in the BA forum and occasionally surfaced in the AA forum.
BA continues to wrongfully charge taxes on certain AA flights that do not carry YQ, but flights to/from Caribbeans, making tax collection on such. Someone actually reported that he contacted government agencies (forgot which ones), and eventually got refund on those taxes.
There is a true distinction on whether an award ticket is deemed "0 value" or with value when it comes to taxation purpose. Therefore, the interpretation of "cash component" is a big gray area.
It is the YQ / YR the government ruled that they are simply part of the revenues the airlines pocketed, therefore those award tickets are no longer free, so they are subject to the segment fee, the International arrival and departure tax, etc.
This topic has been discussed / debated ad nauseum in the BA forum and occasionally surfaced in the AA forum.
BA continues to wrongfully charge taxes on certain AA flights that do not carry YQ, but flights to/from Caribbeans, making tax collection on such. Someone actually reported that he contacted government agencies (forgot which ones), and eventually got refund on those taxes.
There is a true distinction on whether an award ticket is deemed "0 value" or with value when it comes to taxation purpose. Therefore, the interpretation of "cash component" is a big gray area.
Jul 17, 2012, 4:03 pm
#600
Join Date: Dec 2003
Location: SJC, SFO, NYC
Programs: 1K, Hertz Five Star
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Hehehe - look what a simple typo can unveil...
http://www.untied.com/
PS - This has possibly been posted here before but I thought that with all the negative sentiment against UA, now would be a good time to remember this genius site
http://www.untied.com/
PS - This has possibly been posted here before but I thought that with all the negative sentiment against UA, now would be a good time to remember this genius site