Search Travel Market Report

cruise planners
ALG Sponsored
ALG Sponsored
mainlogo
www.travelmarketreport.com
  • News
  • Tours & Packages
  • Cruise
  • Hotels & Resorts
  • Destinations
  • Retail Strategies
  • Niche & Luxury
  • Well-Being Travel
  • Training & Events
  • Who We Are
    • Anne Marie Moebes
    • Brian Israel
    • Dan McCarthy
    • Denise Caiazzo
    • Marilee Crocker
    • Paul M. Ruden
    • Dori Saltzman
ALG sponsored

House Bill Would Ease Air Fare Advertising Rule

by Michele McDonald / March 07, 2014

A bill introduced in the House of Representatives seeks to amend the Department of Transportation advertising rules to allow travel agents and airlines to state just the cost of a base air fare.

Currently the DOT requires advertised fares to include all taxes and fees in the first reference, and the total fare must be shown more prominently than the base fare or taxes and fees.

In other words, under current DOT rules, it is correct to advertise a fare as “$300 total ($250 base + $50 taxes and fees)” and a violation to advertise it as “$250 base + $50 T+Fs = $300 total.”

The bill would not change the obligation of a travel seller to disclose the full amount prior to purchase.

Hides govt. taxes
Virtually all consumer products are advertised at a base price, with taxes added on at the point of purchase, said Bill Shuster (R-Penn.), chairman of the House Transportation and Infrastructure Committee, who introduced the bill this week with senior committee member Peter DeFazio (D-Ore.).

He said the fact that “Americans are paying higher and higher government-imposed taxes and fees to travel by air is being hidden from them.”

The Transparent Airfares Act of 2014 (H.R 4156) would allow consumers to see how much they are paying for the service and how much they are paying in government-imposed taxes and fees, he said.


Anti-consumer?
DeFazio said that “while the DOT had good intentions, the new rule effectively reduced transparency. Consumers haven’t been getting the whole picture of what an airline ticket pays for.”

Airlines for America, the airline trade association, applauded the introduction of the bill, saying the current regulation “unfairly prohibits airlines and travel agents from providing full disclosure of government-imposed taxes and fees in advertised prices, thereby masking the excessive federal tax rate on the cost of air travel.”

The bill “would bring air travel in line with virtually all other consumer products which are sold at a base price, with taxes added on at the point of purchase,” the association said.

Accountability
A4A president and chief executive officer Nicholas E. Calio added, “It’s a misnomer to characterize the current law as a consumer protection rule when it really protects the government, not airline passengers.

“It’s disingenuous for Washington to hide the ball and not be held responsible for the taxes they impose on air travel,” Calio said.

ASTA has criticized the DOT rule for extending beyond advertising of prices because it also applies to travel sellers’ presentation of prices to clients, including on offers made in person. ASTA did not have an immediate comment on the Shuster-DeFazio bill.


  0
  0
ALG Sponsored

MOST VIEWED

Brought To You By
  1. Federal Mask Mandate on Planes and Public Transportation No Longer in Effect
  2. How Is the War in Ukraine Affecting the European River Cruise 2022 Season?
  3. European Union Will Drop Its Mask Mandate for Travel Next Week
  4. Despite CDC News, Masks Still Required at New York Airports
  5. 5 Client Types You Can Immediately Disqualify for a Virgin Voyages Cruise
  6. Trivago Hit With Massive Fine from Australian Federal Court Because of “Misleading” Conduct

MOST EMAILED

Brought To You By
  1. European Union Will Drop Its Mask Mandate for Travel Next Week
  2. Federal Mask Mandate on Planes and Public Transportation No Longer in Effect
  3. How Is the War in Ukraine Affecting the European River Cruise 2022 Season?
  4. Japan Could Reopen to North Americans Next Month
  5. 5 Client Types You Can Immediately Disqualify for a Virgin Voyages Cruise
  6. Advising Clients in a Maskless Travel World
ALG sponsored
TMR Subscription

Subscribe today to receive daily in-depth coverage, analysis of industry news, trends and issues that affect how you do business. Subscribe now for free.

Subscribe to TMR

TMR Recommendations
Daniel Zim
Zim Travel Law, PLLC. Demystifying Complexity with Down to Earth Advice. Attorney Advertising.
hbar
Rodney Gould
Rodney E. Gould concentrates in travel and tour-operator litigation and regularly counsels travel-related entities worldwide.
hbar
Tom Carpenter
Carpenter Law Office - Representing clients in the travel and tourism industries. Attorney Advertising.
hbar
Top Stories
More Consumers Interested in Travel Insurance than Pre-Pandemic
More Consumers Interested in Travel Insurance than Pre-Pandemic

Online searches for travel insurance have increased by 70% since 2019.

Read...
ALG Vacations Shows Its Amped-Up Appreciation to Travel Advisors
ALG Vacations Shows Its Amped-Up Appreciation to Travel Advisors

For the entire month of May during Travel Advisor Appreciation Month, ALG Vacations® is showing its appreciation to its travel advisor partners with “amped-up gratitude.”

Read...
Headquarter Happenings: Avenue Two Travel's First-Ever Collective
Headquarter Happenings: Avenue Two Travel's First-Ever Collective

“We have long dreamed about hosting an event like this. It's so incredible to think the dream has come true on the heels of some of the most devastating times of our lifetimes." 

Read...
Who Is the Ideal Virgin Voyages Client?
Who Is the Ideal Virgin Voyages Client?

Some psychographics, demographics and group types that will help you narrow down which of your clients are most likely to love the Virgin experience. 

Read...
Why Facebook Groups Are So Important for Travel Advisors
Why Facebook Groups Are So Important for Travel Advisors

Travel advisor Facebook groups have become an invaluable resource and source of support for advisors, especially during COVID-19. But there are pitfalls.

Read...
How to Future Proof Your Travel Agency
How to Future Proof Your Travel Agency

A three-pronged approach to business stability. 

Read...
TMR Outlooks
Multi-Gen Outlook
Distribution Outlook (1)
New to Cruise Outlook
Expedition 2020
Wellness Outlook
River Cruise Outlook 2019
View All
Advertiser's Voice
https://img.youtube.com/vi/6zh4N0uQSV0/0.jpg
Check-In Episode 24: What's the Most Important Skill for Travel Advisors?
About Travel Market Report Mission Editorial Staff Advisory Board Advertise
TMR Resources Webinars Calendar of Events
Subscribe to TMR
Select Language
Do You Have an Idea Email
editor@travelmarketreport.com
Give Us a Call
1-(516) 730-3097
Drop Us a Note
Travel Market Report
71 Audrey Ave, Oyster Bay, NY 11771
News|Leisure Travel|Land Vacations|Cruise|Canada Retail Strategies|Well-Being|Luxury|Training
© 2005 - 2022 Travel Market Report, an American Marketing Group Inc. Company All Rights Reserved | 243 South Street, Oyster Bay, NY, 11771 USA | Telephone (516) 730-3097| Terms and Conditions
Cookie Policy Privacy Policy