WHAT IS AIR PASSENGER DUTY

Air Passenger Duty (APD) was introduced in 1994 as a tax to pay for the environmental costs of air travel. It’s essentially a departure tax for flights originating in the United Kingdom.

WHO MUST PAY

APD is levied against each passenger on every flight departing from the UK (all flights aboard aircraft of 5.7 tones and above). You don’t pay this if you’re flying into the UK, but rather only when flying out of the UK. APD does not apply if you’re just changing flights in the UK (as long as the time between flights is less than 24 hours). Exemption applies to children under the age of 16 on the date of travel.

TRAVION AS YOUR FISCAL REPRESENTATIVE

IF YOU OPERATE MORE THAN 12 FLIGHTS A YEAR

You need to register with HM Revenue and Customs (HMRC) any time before your flights begin but no later than seven days after a flight takes place. If your business is based outside of the UK, you must appoint a fiscal representative.

If you don’t have any business establishment in the UK, you can appoint Travion as your fiscal representative. If you fail to appoint a fiscal representative, your handling agent will become jointly and severally liable for future debts. You may also incur a financial penalty. It is not allowed to appoint more than one fiscal representative to act on your behalf.

If you need more clarification or wish to register your aircraft with us, simply contact our Travion APD Team:

EMAIL TRAVION APD TEAM

INFREQUENT FLIGHTS

12 FLIGHTS OR LESS PER YEAR

If you operate 12 flights or fewer in a year, and have an annual APD liability of less than £5,000, you may not need to register for APD. However, you must still notify HMRC and pay on a flight by flight basis.

Travion can assist with the one time payment and on time notification. You can apply online by filling and submitting our Occasional Operator Scheme form through the button below:

APD ONLINE FORM

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APD BANDS AND RATES

Passengers fall into a specific tax band dependent on their final destination and for each band there are three rates of duty.
Below are the official rates from 1 April 2017 according to HMRC:

REDUCED RATE

  • Applies to passengers that travel in the lowest class of travel, unless their seat pitch is more than 40 inches (1.016 meters).

BAND A (0 - 2000 miles)

£13/ passenger

BAND B (over 2000 miles)

£75/ passenger

HIGHER RATE

  • The rate applies to all chargeable passengers on flights aboard aircraft of 20 tons and above with fewer than 19 seats.

BAND A (0 - 2000 miles)

£78/ passenger

BAND B (over 2000 miles)

£450/ passenger

STANDARD RATE

  • With a seat pitch that exceeds 40 inches (1.016 meters), the standard rate applies, even if it is the lowest class of travel.

BAND A (0 - 2000 miles)

£26/ passenger

BAND B (over 2000 miles)

£150/ passenger

HMRC PENALTIES AND INTEREST (SIMPLIFIED)

Fixed penalty: £250 chargeable for each offence
Geared penalty: 5% of the duty owed or £250, whichever is greater
Daily penalty: £20 per day for each day the offence continues

TRAVION’S RESPONSIBILITIES

Travion as your representative is responsible for ensuring that you meet all your obligations. If you fail to meet necessary requirements, Travion will be jointly and severally liable for all your APD obligations and liabilities.