The increase in tax may see more and more Egyptians looking for foreign, online booking agents to secure the best price for their flights.
In the country where everything seems to be getting pricier, comes the news of a presidential decree to increase the taxes on airline tickets. The announcement was made via the government’s official gazette on Wednesday, but began circulating the news late Thursday. The fixed sum tax on plane tickets was first imposed in 1978 under law 46, according to the new decree taxes will be raised from LE100 to LE150 on economy class tickets, and increase from LE300 to LE400 for business and first class tickets.
According to a previous statement by Egypt’s Aviation Minister, Hossam Kamal, the tax will only be imposed on the international flights departing from Egypt, and excludes domestic flights and flights coming into Egypt. Furthermore, Egyptians travelling abroad will be applied to those buying tickets in the local currency. This may result in Egyptians looking to purchase tickets online and pay in foreign currency to avoid the tax.
The amended law come with exemptions for those who are students, traveling patients, seeking internships, or performing official functions including Hajj.
The increased taxes is said to have become effective as of the date of the publication.