Air Transportation Taxes Increased
For transportation beginning in 2001, the tax on transportation of
persons by air is increased to $2.75 for each domestic segment. The
percentage tax remains at 7.5%.
For 2001, the tax on the use of international air travel facilities
will be $12.80 for both arrivals and departures. For air
transportation between the continental United States and Alaska or
Hawaii, or between Alaska and Hawaii, the tax on departures will be
See Publication 510,
Excise Taxes for 2001, for more
information on air transportation taxes.
Luxury Tax Reduced
For 2001, the luxury tax on a passenger vehicle is reduced to 4% of
the amount of the sales price that exceeds the base amount. The base
amount for 2001 is $38,000.
See Publication 510
for more information on the luxury tax.