Aviation Fuel Tax Reduction
Several years ago, Delta Airlines hired Capital City Consulting to help bring parity to all the airlines regarding aviation fuel tax in Florida. As a way to attract new airlines to the State of Florida, the legislature gave substantial tax breaks to certain, non-legacy airlines. After a successful session, in an effort to phase in the tax equality for the other airlines, the legislature decided not to implement until 2019 in order to give a sufficient ramp up period for those airlines that would soon be paying the tax.
During the 2018 legislative session the collective airline industry, now united on this issue, decided to try and reduce the tax further. Capital City Consulting was ultimately successful once again, reducing the tax burden for Delta and the other airlines to the tune of millions of dollars a year.
The growth of flights coming into the state of Florida, as well as the expansion of existing airline hubs will be vital to the continued economic growth of the State. As other states begin to lower or completely eliminate the tax, this was a huge win for the industry and the State in order to continue to hold their competitive advantage.