Travel tax 'confers unfair advantage'
Ryanair, Aer Lingus and Aer Arann may have to reimburse the Government for an economic advantage they gained over rivals when they were not charged a higher air travel tax for flights from Irish airports, the European Commission has said.
EU regulators said the lower rates favoured flights within Ireland and to airports in parts of the UK. It did not, however, specify how much would need to be repaid by the airlines.
The air travel tax for flights departing from Irish airports was introduced in 2009. The tariff was set at €2 for destinations up to 300km from Dublin and at €10 for all others.
However, in its ruling, published today, the Commission said the lower rate favoured flights within Ireland and to nearby parts of the UK, giving the companies concerned an economic advantage over their competitors.