SCARA gives voice to island and overseas services

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While the 2024 budget is currently under discussion in the National Assembly, Scara (Union of Autonomous Airlines) is asking for several measures to reduce taxation which still weighs very heavily on airlines.

While global air transport has just emerged from one of the greatest crises in its history, the air transport sector continues to be squeezed by very heavy taxation which even sees the emergence of new taxes while there are still a few months, the government had, through the voice of Clément Beaune, Minister of Transport, “fiscal stability” at the end of the Covid-19 crisis.

In this context, SCARA (Union of Autonomous Airlines) announced to the press on October 11 a series of measures which it requests the application of while the discussion of France’s 2024 budget began in the Assembly. National. Concerning the creation of the new “tax on long-distance transport infrastructure” (also known as “tax on airport concessions”), SCARA specifies that: “The text presented for this tax in the 2024 finance bill leaves the possibility for the airports concerned to pass on the burden to their users/airlines, unlike motorway concessionaires who are the other economic actor targeted by this new tax measure. SCARA requests that this draft new tax be amended in order to to ensure that it cannot be passed on to users, and in particular to airlines.” Remember that on this subject, the management of the ADP group has already announced that if this tax were implemented, it would pass it on to the airlines.

Adaptations and exemptions

Alongside the adaptation of this new tax, SCARA also requests adaptations of existing taxes to take into account the specificity of island and overseas services. Concerning the solidarity tax, SCARA reminds that it is still awaiting the implementation of the exemption, promised by the State when it was created more than three years ago, from the “ecocontribution” component of the solidarity tax for services to Overseas and Corsica. The additional cost for the State estimated for the State would be of the order of 6 million euros (around 4 million euros for the overseas territories and 2 million euros for Corsica).

The airline union is also asking for an exemption from civil aviation tax for all flights departing from or destined for all overseas territories and Corsica as part of the national effort for territorial continuity, and to help the opening of these overseas territories to their geographical economic trade zones, by example: the Caribbean for Guadeloupe, Martinique and Guyana, the Indian Ocean for Reunion and Mayotte, the Pacific Ocean and Asia for Polynesia, Australia for New Caledonia and North America for Saint Pierre and Miquelon. The estimated cost of this measure for the State would be 24 million euros (17 million euros for the overseas territories and 7 million euros for Corsica). Let us recall that theThe civil aviation tax, which finances the cost of the administration of Civil Aviation and its sovereign functions, applies to all flights departing from French territory, except for flights departing from certain local authorities. Overseas (Polynesia and New Caledonia).

Finally, SCARA has been asking for many years for the Nation’s general budget to cover the sovereign missions of the State for security/security at airports, which applies to all flights departing from French territory. As a minimum aid for territorial continuity, SCARA is now asking to exempt the overseas territories and Corsica from taking responsibility for this. Remember that the estimated costs for the security and safety tax cost more than 1 billion euros (paid by the companies), including 67 million euros for overseas services and 29 million for Corsica.

John Walker Avatar