Airlines Might Owe Passengers a Refund

View Comments ()



    Not all airlines hand out peanuts on a flight, but many of them might be handing back refunds.

    Last weekend, airlines stopped charging certain federal airline ticket taxes when Congress failed to reauthorize a bill to fund the Federal Aviation Administration.

    Traveling This Week? Airlines Could Owe You Money

    [DFW] Traveling This Week? Airlines Could Owe You Money
    The IRS says airlines could owe travelers a refund on taxes for flights flying during the shutdown of the Federal Aviation Administration. (Published Wednesday, July 27, 2011)

    The taxes were charged on domestic and foreign tickets and included cargo and excise taxes.

    But if you bought a ticket, paid those taxes and traveled this week, the Internal Revenue Service says the airlines could owe you a tax refund.

    On a $300 domestic ticket, the refund could be around $30. A more expensive ticket means more of a refund.

    But the refund process is causing confusion.

    The IRS is telling passengers to call their airline for the refund.

    Dallas-based Southwest Airlines is telling passengers to call the IRS because the government already received the tax money. And Fort Worth-based American Airlines wants more direction from the IRS before moving forward.

    Travel experts are advising passengers to keep all their airplane ticket receipts until more details come out.