The Scottish government will start reducing the overall burden of air passenger duty (APD) in Scotland when a new tax is introduced from April 2018, leading to a 50% reduction by 2021 and complete abolition of the tax ‘when public finances allow’. The new tax will retain a charging model similar to APD in the UK.
Two consultations, concerning the structure of a Scottish replacement for APD and an environmental assessment, were run in parallel between March and June 2016.
The Scotland Act 2016 devolves powers to legislate for a tax to replace APD in Scotland. The fiscal framework agreed by the Scottish and UK governments specifies that the replacement tax will come into effect in Scotland from 1 April 2018.
The Scottish government will start reducing the overall burden of air passenger duty (APD) in Scotland when a new tax is introduced from April 2018, leading to a 50% reduction by 2021 and complete abolition of the tax ‘when public finances allow’. The new tax will retain a charging model similar to APD in the UK.
Two consultations, concerning the structure of a Scottish replacement for APD and an environmental assessment, were run in parallel between March and June 2016.
The Scotland Act 2016 devolves powers to legislate for a tax to replace APD in Scotland. The fiscal framework agreed by the Scottish and UK governments specifies that the replacement tax will come into effect in Scotland from 1 April 2018.
