Factsheet for measure
NO-2020-1/718
–
Updated
– measures in Norway
Temporary cancellation of the air passenger tax
Midlertidig opphevelse av flypassasjeravgiften
Background information
The government lifted the air passenger tax for flights in the period from 1 January 2020 through 31 October, 2020. The measure is expected to have little impact on the volume of flights. However, the measure is intended as a temporary relief for the airlines during the outbreak of the coronavirus. The purpose of the tax is primarily to provide the state with revenue, but the tax can have an environmental impact by reducing the demand for flights. The Ministry points out that tourism in general and aviation in particular are severely affected by the virus outbreak. Maintaining a fiscal charge on air travel can help exacerbate the negative financial consequences of the virus outbreak.
Content of measure
The duty to pay air passenger tax is incurred when the flight starts from a Norwegian airport, and the fee is calculated per passenger who commences taxable flight from a Norwegian airport. The cancellation of the tax in the period from 1 January 2020 to 31 October 2020 means that the tax will be abolished both for flights made earlier this year and for flights commenced in the period up to and including 31 October 2020. The time of purchase of the air ticket is of no significance for the duty to pay. Flights starting on or after 1 November 2020 will be subject to tax. It follows from the proposal that the fee paid for flights earlier this year should be repaid to the airlines.
Updates
The following updates to this measure have been made after it came into effect.
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14 December 2021
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On14 December 2021, the government announced that it would postpone the reintroduction of the air passenger tax until 1 April 2022. The proposals require a decision in parliament. The government will present a proposition to the Storting in January 2022.
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04 January 2021
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The passenger tax on air flights, introduced in 2016, was in March 2020 lifted by the government from 1 January to 31 October 2020. The tax was not reintroduced in November, and after budget negotiations in the parliament, the parliament decided that the air passenger tax should be abolished in 2021 as well. The plan by December 2020 is to reintroduce the tax for flights starting on 1 January 2022 or later.
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Use of measure
No information to date.
Target groups
Actors and funding
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Actors
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Funding
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National government
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National funds
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Social partners
Social partners' role in
designing the measure
and form of involvement:
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Trade unions
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Employers' organisations
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Role
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Consulted
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Consulted
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Form
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Direct consultation outside a formal body
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Direct consultation outside a formal body
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Social partners' role in the
implementation, monitoring and assessment phase:
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Social partners jointly
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Main level of involvement: Peak or cross-sectoral level
Involvement
Social partners have been consulted regularly during design and implementation of the measure in Mars 2020. The decision to abolish the tax through 2021 was taken by the parliament without direct involvement by the social partners.
Views and reactions
Social partners have been consulted regularly during design and implementation of the measure.
Sectors and occupations
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This case is sector-specific (only private sector)
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Economic area
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Sector (NACE level 2)
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H - Transportation And Storage
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H51 Air transport
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This case is not occupation-specific.
Sources
