02 Jun What is Italian Luxury Tax?
If you’re travelling to Italy by private jet, whether it’s for business or pleasure you will need to know about Italian Luxury Tax and the implications for your flight...
The tax is applicable to all charter flights to and from Italy. Italy is an extremely popular business and leisure destination for thousands of private jet travellers. People travel from all over the globe to visit Italy, for its culture, food, entertainment and shopping.
Italy’s private jet activity highlights some well known leisure destinations such as Rome, Venice, Milan and Olbia.
More than 70% of flights are taken by business people looking to save time or make direct point to point connections.
The tax is due by each passenger and paid to the operator as follows:
• 100 EURO for each passenger for each flight of less than 100 km to, from or within the Italian territory
• 100 EURO for each passenger for each flight of more than 100 km but less than 1500 km to, from or within the Italian territory
• 200 EURO for each passenger for each flight to or from the Italian territory in excess of 1500 km
Please note that private jet flights WITHIN Italy are also subjected to the Italian luxury tax apart from Italian VAT.
As a result, a flight Verona to Naples performed with an Italian aircraft (I-*** registered aircraft) will be subject to Italian Luxury tax for the number of passengers onboard as well as Italian VAT. This tax applies only to aircraft registered in Italy.
Example private jet charter flight;
We recently organised a charter flight to Grosetto in Italy for one of our clients, who were flying there from the UK. There were 4 passengers on the flight, so they had to pay the extra charges.
When we receive a quote from the operator, the ILT is generally not included, so we always prefer to ask the operator to include the costs. This way our clients do not get a shock when they see the final invoice.
For this charter flight the extra ILT costs were 1600 euros, which had to be paid prior to the flight.
Please note: Prices shown are estimated prices for charter of whole aircraft – alternative routes, aircraft and airports are also available upon request.
Any additional operational charges that we may incur to operate this quoted schedule, ie Out of Hours (OOHs) and airfield Extensions, Fire Cover Upgrade and AIRCRAFT DE-ICING are not included in this quotation price. This estimated price is subject to availability, slots, traffic rights and schedule.