What happens to the taxes on a cancelled ticket?

Ξ January 7th, 2009 | → | ∇ metadolllogin.com | edit

  • I am not sure if this should be here or lost in the 1200 replies re "JFK - KEF $61 - Cheaptickets..."

    I find I am unable to go on this infamous "mistaken" fare.
    I have two tickets that I paid $56.58 each which is the tax on a zero fare basis. I also paid a $29.95 shipping fee.
    The tickets I have are on flights which are zeroed out(#614 6/18/04 and #615 6/22/04.
    Cheaptickets shows no interest in my cancelling(I'm sure the right person with the right authority there would realize they could resell them for about $750 each) and advises they are nonrefundable. I pointed out that if I cancel the taxes are to be returned to me. They dispute this. Am I correct?
    (I am not interested in any consideration other than to get the taxes back.)


  • Interesting. I have a two-year old Delta ticket that I never used. Do you think I can get the taxes back from that?

    Thanks,
    Faisal

    yup. i believe so. you can fahgetabout the fare but the airline can't collect taxes on services not provided, i believe.


  • Another good question: if I am not going, am I better to cancel...at the last minute...or simply no show...ie. since we are only talking about the taxes, no cancellation handling charges?

    glad you think so. :) ;)

    but, as for the answer, i am sure those on your flights looking for a bump would like you to cancel. that way, icelandair could resell the "seat." if you are a no show, theoretically that is one less seat icelandair might sell. no shows are why airlines oversell the flight but don't need volunteers (in addition to misconnects and a wide variety of other reasons).


  • If the airlines are pocketing these taxes it will be another round of class action suits where we get a coupon for 15 cents off the purchase of a full y fare and the attorneys get millions.


  • You should get all your taxes back. I have cancelled non-refundable tickets, including incredible deals and always gotten the taxes back. At least on AC, BD and UA. I suggest calling the airline directly and tell them CT won't get involved.


  • Interesting. With regards to Delta, I have just been up the food chain 3 levels today with regard to this issue and been informed that DL will NOT refund the taxes on a non-refundable ticket. My story is that I have a zero fare ticket with $60 in taxes. Trip was not taken... and again, DL won't refund the tax. Had there been a fare worth more than $100, then DL says that I could apply that to another tkt.

    I am going to work the food chain a little more and will let you know what happens.


  • So, I call both CT and Icelandair several times. Each refers me to the other etc. I believe FCTSTY has suggested the only course of action: file a credit card charge dispute...
    Also, with respect to the EIGHT taxes on these tickets, it would take a better and more patient man than I to definitively obtain the appropriate information as their origin and the mechanics of collection and distribution to the assorted entities involved. I tried to get the bottom of a few of these not too long ago when questioning the great disparity in taxes paid for award redemtions among the airlines...I gave up.

    Another good question: if I am not going, am I better to cancel...at the last minute...or simply no show...ie. since we are only talking about the taxes, no cancellation handling charges?


  • Hmm, can you get half the taxes refunded if you only flew the outbound and threw a.. er, had a change of plans and never used the return?


  • i would have to think this is dispute-able with the credit card company. how can you be assessed tax on a flight not taken (i.e., service not performed)? and, why should the airline care? it's no skin off their apple. they just remit the taxes.


  • yeah, i echo the first responders comments. you definitely get the taxes back. if CT won't help you, either the airline or the credit card company will fix it on your behalf.


  • The only explanation I can think of goes somewhat thusly:

    You purchased a product that is not returnable. As such, the airline books it as revenue and pays the appropriate taxes to the appropriate taxing authorities, hence no refund. The main problem with the theory is that almost all the taxes (PFCs, etc.) are all based on the passenger actually being ON the plane.

    S.


  • i would have to think this is dispute-able with the credit card company. how can you be assessed tax on a flight not taken (i.e., service not performed)? and, why should the airline care? it's no skin off their apple. they just remit the taxes.

    My understanding is that taxes that the airline has to pay are not assessed, at least totally, on a per-person basis, but on a per-flight basis.

    If I recall correctly, Ryanair ingeniously resolves this problem by setting the service fee for getting a refund of taxes to be exactly equivalent to the taxes.


  • Interesting. I have a two-year old Delta ticket that I never used. Do you think I can get the taxes back from that?

    Thanks,
    Faisal


  • Please do keep us informed
    I had the same problem with America West

    think the fare was 20 and taxes 40 for a total of 60

    Several reservationists said no refund of taxes
    but i think this is wrong?

    I will pursue mine a bit as well

    Will keep u informed

    K


  • You get them back less the airline imposed handling charges.







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