Aviation

Ireland on the fence about ending tax-free aviation fuel

The European Commission has proposed ending the exemption which means that excise and Vat is not paid on jet fuel for intra-EU flights

The EU Commission has published a proposal to revise the 2003 directive which aims to better align it with the EU’s climate action ambitions. Picture: Rolling News

The Irish government has not yet established a position on whether it supports an EU proposal to remove the tax exemption on aviation fuel, the Business Post has learned.

This is despite Taoiseach Leo Varadkar previously telling this publication that the government would support any European moves to end international tax exemptions on aviation jet fuel.

The current EU Energy Tax Directive was first implemented in 2003 and provides for fuel used for intra-EU commercial ...