APD is in effect

[fatmanmedia]

hi all,

Today we now have APD (Air Passenger Duty) on all private jets over 5.7t irrespective of how many seats or if it's a fixed wing or rotary wing.

One thing is the rate that will be charged will be the higher rate, so a flight of under 2000miles will cost £52 per passenger, 2001-4000Miles will incur a charge of £268, for a flight of 4001-6000 Miles the rate is £332 and for the very long flights over 6000 miles the rate is £376.

But he's the kicker, fly from Northern Ireland and pay no APD, yes you will still need to pay the £54 to fly to there from the mainland, but as long as the flight is over 2000 miles, you will not have to pay a penny.

Do people think this is fair or not?

I've tried to find the thread that mentioned this but i cant seem to find it.

Fats

[Gulfstreamaviator]

We now use Paris for our EU departure point

Luton was our stepping stone since the beginning of time......now its Paris.

On our return we no longer stop in UK, the boss has sold his house, and relocated his business base away from UK.

No idea if these are related but very interesting.

glf

[Red Four]

Excuse my ignorance, but how is this APD meant to be collected?

Does it only apply to AOC operations, or private as well?
Does the airport charge it to the operator for each flight and then forward it to HMRC?
Does the operator forward it to HMRC direct?
Does HMRC get in contact with the operator some time after the event and ask for the money?
Does HMRC contact the airport some time after the event and ask for the money?

Or is this an April 1st post?

[N707ZS]

I wonder if the government and sorry royals will have to pay APD on executive jets?

[cldrvr]

Air Passenger Duty - extension to private jets and smaller aircraft
From 1 April 2013, Air Passenger Duty (APD) has been extended to include private jets and other smaller aircraft. This means that if you operate an aircraft with an authorised take off weight of 5.7 tonnes or more, which takes off from a UK airport carrying chargeable passengers, you will be required to register for APD within 7 days of the flight occurring, and account for APD.
Helicopters and avgas fuelled aircraft are excluded from APD.
You can find the APD1 registration form here.
Once registered you will need to submit returns and account for APD. The amount of APD you pay is determined by the number of chargeable passengers multiplied by the relevant APD rate. The rates you use are dependent on the destination and class of travel, as set out in the APD rates table.
For more detailed guidance on how to account for APD, please refer to Notice 550.
If your duty liability for the year is £500,000or less you can apply to use the Annual Accounting Scheme. Further guidance is contained in Notice 552.
If you are likely to make no more than 12 flights a year from UK airports and your duty liability for a year will not exceed £5000, you may not need to register, but can use the Occasional Operators Scheme instead.
Occasional Operators Scheme

If you are eligible to use the scheme, you may account for APD on flights over a 24 hour period by completing a combined registration notification and payment form within 7 days of your flight. This new form will be available soon.
You will need HMRC's bank details and a unique reference number to make your payment. To obtain these, please telephone [phone]. Do not use this phone number for any other reason.
You should send your completed Occasional Operators registration and payment form to:
HM Revenue and Customs
Central Collection Unit (APD)
Alexander House
21 Victoria Avenue
SOUTHEND-ON-SEA
SS99 1AA

HM Revenue & Customs: Air Passenger Duty - extension to private jets and smaller aircraft

HM Revenue & Customs


Key point is you have a week to register from your first flight where APD is chargeable.

[cldrvr]

Or is this an April 1st post?

You wish, if you fly an "avtur" machine over 5.7t from the UK, you have a week after that first flight, starting today, to send the HMRC the cash if you only do 12 flights a year, or register to pay annually.

The key is the 7 days, don't know what the fine/penalty is if you don't.

[Red Four]

cldvr - many thanks for the quick reply.

carrying chargeable passengers

seems to indicate that private flights not effected.

[cldrvr]

seems to indicate that private flights not effected.

Private flights are included, "chargeable" is in reference to APD, not to how the aircraft is operated.


To quote from the HMRC:

A chargeable passenger is anyone carried on a chargeable aircraft irrespective of whether they have paid for their carriage, which is not covered by an exemption.

One thing is the rate that will be charged will be the higher rate,

Careful there, only the higher rate is charged when over 20t, between 5.7t and 20T it is the "standard rate", and over 19pax AND 20t it is the "airline" rate, so refer to pitch and classes.

So a Citation/Hawker/Lear pays less than the heavy metal does.

For the Russian destinations, they left in the break at the Urals, without going into details what the exact boundary is, pretty vague if you ask me.

There are also specific rules for non UK based operators as to admin representatives and paying security (part of your estimated APD) up front.

[g450cpt]

APD

Cldrvr is correct in stating that any aircraft whether AOC or not is considered "chargeable". My question to anyone that may know is "designating a representative". In reading the "scheme" I understand that each operator is responsible for designating an administrative representative or a fiscal representative with an address in the UK to be responsible for the operator. We have asked the handlers at various airports and they will not be a representative. Will the operator have to hire a firm just to represent us in the UK? If so, then I sense an opportunity for you UK guys with aviation smarts to become representatives of all the foreign operators.

[cldrvr]

g450, can't help you there, we are UK based. I am surprised though that the handlers can't guide you, they are responsible if you as a non-UK operator fail to register. The HMRC is pretty clear on that one, if you don't pay, the UK handler is liable.

to quote the HMRC:

If you fail to appoint a fiscal representative we may make your handling agent jointly and severally liable for future debts.

Try some of the bigger handlers here, LTN/FAB and see if they can steer you in the right direction.

There are quite a few handlers who post here so one of them may have an answer for you.

[g450cpt]

APD

We tried Signature in Luton and Biggin Hill handling among others. Signature and Biggin Hill said the same thing "we will not be a representative". Some handlers didn't even reply and some didn't know what we were talking about. We have emailed HMR but no reply as of yet. It seems to me that this scheme was not thought through very well, at least not by people with knowledge of business aviation. I don't mind paying the tax, but at least make it as straight forward as possible. Pay the handler and the handler can pay the tax. It seems as though I was not on the consulting list when they decided to implement the tax.

[His dudeness]

In reading the "scheme" I understand that each operator is responsible for designating an administrative representative or a fiscal representative with an address in the UK to be responsible for the operator.

Thats the part I don´t understand either. Why the heck do I need a fr, just make the handlers collect it. If the handlers are held responsible I foresee a paper trail from here to the moon and back to prove them one has an fr...

Its the same idiotic thing in Austria btw...

This is an earlier thread:

http://www.pprune.org/biz-jets-ag-fl...ness-jets.html

I have asked for a better definition if "west of Urals" and was told that they would need some more time to get back to me. They have not answered yet.

[mattman]

Really aviation in Europe is getting to be to much hassle.

I don't even know why I bother anymore

[I.R.PIRATE]

Universal is taking care of it for us.

[donPablo]

And this all applies only for departing PAX, am I correct ?
... or like in Italy also for arriving PAX ?

BTW have You ever been charged in any form by italians with their tax ?

[g450cpt]

APD

Pirate,

Can you PM me a contact at Universal that is taking care of it for you? We use Arinc and had no such luck. Thanks in advance.

G450

[Booglebox]

His dudeness: if you hear anything else about APD in Austria please let me know

GLF:

Originally Posted by GLF

Luton was our stepping stone since the beginning of time......now its Paris.
On our return we no longer stop in UK, the boss has sold his house, and relocated his business base away from UK.

Textbook case: that's why excessive taxes don't work. But maybe this is the wrong thread for that line of thought.

[mutt]

Boss just issued instructions that all technical stops are now prohibited in the UK, we will use France or Ireland, so I'm sure that the handling agents in Paris and Shannon will love this new tax

Mutt

[cldrvr]

Mutt, no need to avoid the UK on tech stops, transit pays no tax. By all means use Ire/FR, however there is no need if you prefer the UK.

International to international flights are considered "Case B" and pay no APD.

[g450cpt]

Shannon

Mutt

Is Shannon considered to be in Northern Ireland? According to the APD form only long haul flights from Northern Ireland would be exempt. It would suit me fine if Shannon is included in the Northern Ireland exemption, but I am not clear on that just yet. I hope you can shed some light on this.

g450cpt