Italian Luxury Tax
On April 29th 2012, Italy has shocked the world of aviation by adoption a special luxury tax on private and business aircraft and helicopters, so called '' Salva Italia '' or '' Aero Taxi Tax ''. '' Salva Italia '' literally means '' save '' Italy, and this tax is part of a series of measures carried out by former Italian Prime Minister Romano Prodi to reduce the budget deficit of Italy.
The luxury tax is paid by each passenger, depending on the flight length, on all legs in Italy. For legs shorter than 100 km tax costs 10€ per passenger, from 100 to 1500 km is 100€ per passenger while for legs longer than 1500 km is 200€ per passenger. That way will further increase flight costs for larger groups of people, on long flights. For example, on return flight from New York to Rome, for eight passengers, luxury tax will be 3200 €. Tax amount will be indicated on your Private flight invoice.
For aircrafts registered in Italy or any other country of the European Union or European Economic Area, luxury tax has to be paid by the end of each month following the month when the flight took place. For aircrafts registered in non-European countries, luxury tax is paid upon arriving on the Italian territory or before departing from the same.
In Italy, for tax payment is usually used '' F24 form '', while foreign operators who don’t have an Italian tax code pay via banking transactions in €.
From paying the luxury tax are exempt Italian state aircraft, rescue aircrafts and helicopters, historic aircrafts and aircrafts of scheduled and non-scheduled commercial flights.
EBBA (European Business Aviation Association) is considering legal proceedings against this luxury tax, but in the meantime there is no other way than paying for Italian luxury.