Tim Worstall

Taxing Air Travel

So:

The Government should impose more green taxes on aviation because
flying is "primarily an activity of the rich," according to a study.

That’s a very good reason, isn’t it? Tax whatever it is that the rich do.

How about the idea that green taxes should be actually about green issues? Instead of an extension of class warfare, why not place taxes on things that actually harm the environment? Like, say, the super low special rate of VAT on household heating and energy consumption? That has a far greater impact upon the emissions than air flights do, after all.

In

7 responses

  1. Dr Dan H. Avatar
    Dr Dan H.

    If you consistently tax the rich, then said rich will quickly get the message that whenever the government wants to fund something they’re in the frame.
    When that happens, they’ll go somewhere else and take their money with them; they can afford to do so, after all.
    Since the rich are very often the people who’re running companies, and generating the wealth of a country, taxing them out of the country is very, very stupid. Granted, socialists tend to elevate egalitarian fuckwittery to a high art but surely shooting themselves in the foot repeatedly is something even they would learn not to do?

    Reply
  2. Josh Avatar
    Josh

    They’ll have to go up against arch SWPer Diane Abbott first. She has long argued that some fairly modest income people are frequent flyers.
    Mind you, I wouldn’t imagine her own solutions would be pretty, but she would join the chorus of people defending the benefits of social cohesion to low cost flights.

    Reply
  3. Mark Wadsworth Avatar
    Mark Wadsworth

    Ah yes, the 5% rate of VAT on domestic fuel.
    “But” wail the bleeding hearts “that is a regressive tax as it would clobber those on low incomes”.
    Hence my suggestion to dish out any proceeds of such extra taxes as Universal Benefits to all UK citizens (as a top up to Citizen’s Income).
    Oh god, I do live in a parallel universe.

    Reply
  4. Neil Craig Avatar
    Neil Craig

    If we went for nuclear electricity heating wouldm’t create pollution either & energy would not be limited.
    My opinion is the “green” issues are rarely more to do with the environment than destroying capitalism.

    Reply
  5. Kay Tie Avatar
    Kay Tie

    “Ah yes, the 5% rate of VAT on domestic fuel.”
    If Bruun gave us all carbon credits they would worth be enough (when sold openly or back to the fuel provider) to cover full rate VAT on domestic fuel.

    Reply
  6. ceri Avatar
    ceri

    Also interesting to note that 90% of global trade is carried by sea, yet the aviation industry are being targeted.
    Secondly, would you say that low budget airlines are accounting for an increasing amount of the flights that take off each day, and they are not the domain of the rich? I’m unsure of the figures on this one.

    Reply
  7. sanbikinoraion Avatar
    sanbikinoraion

    But aren’t sea miles considerably more energy-efficient than air miles?

    Reply

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