Accordingly, the new tax amounts will be as follows: 13.03 euros for intra-European flights, 33.01 euros for medium-haul flights, and 59.43 euros for long-haul flights.
State Secretary of the Ministry of Finance Britta Reinhold told MPs that the move was part of the CDU-SPD coalition’s commitment to “recalibrate the competitiveness of aviation”. The fact that the recovery in air traffic in Germany lags behind compared to other countries is cited as one of the reasons for this decision.
The government estimates that there will be a revenue loss of 330 million euros in 2027 due to the regulation. This loss is planned to be offset by the payroll tax increase for kerosene trading companies introduced last month.
Industry associations such as BDL argue that tax relief is critical. While passenger volume at airports in Germany is still 12 percent below 2019 levels, hubs in neighboring countries have already exceeded these levels. Low-cost airline Ryanair also closed its base in Berlin, citing high operating costs.
Travel management companies predict that the tax cut will reduce the average budget for business trips originating from Germany by 1.5 to 2 percent. This arrangement aims to redirect some routes to Frankfurt and Munich.
The opposition comes from the Greens. The party describes the tax cut as “climatically irresponsible” and proposes transferring the savings to the railways. The amendment proposals, which are expected to be brought to the agenda in the commission, envisage maintaining the high tax on flights under 600 kilometers with a high-speed train connection.
The final vote is expected to be held in June. It is stated that airlines need at least four weeks’ notice to adjust their schedules. Therefore, if the law is passed, corporate booking tools must reflect the new tax amounts from mid-June.
