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Hong Kong adds ticket tax to fund airport expansion

05/31/2016| 4:03:54 PM|

Hong Kong's airport authority has announced that the new Airport Construction Fee (ACF) will be applied to all outbound air tickets issued on or after August 1, 2016, to fund the ongoing expansion of HKIA.

Hong Kong's airport authority has announced that a new passenger fee will be introduced this summer, to fund the ongoing expansion of HKIA.

The new Airport Construction Fee (ACF) will be applied to all outbound air tickets issued on or after August 1, 2016. Airlines will be tasked with collecting the fee from departing passengers, including those transiting through HKIA, when it issues the tickets.

The ACF will vary depending on the route and cabin class. For example, short-haul departing HKIA and flying in economy class will be subject to a HK$90 (approx. USD 11.60) fee, while short-haul passengers in first or business class will be charged HK$160. For long-haul passengers, the fees for economy and first/business class tickets are HK$160 and HK$180 respectively. The ACF for short-haul transit passengers in economy class is HK$70.

The airport authority said it expects that about 70% of passengers will pay HK$90 or less.

The taxes will be used to fund HKIA's expansion, including the development of its third runway.

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TAGS: HKIA | China
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