Finance Act 2000

18 Rates of duty

(1) Section 30 of the [1994 c. 9.] Finance Act 1994 is amended as follows.

(2) In subsection (1) (basis on which duty is charged) for the words from “appropriate” to the end substitute “determined in accordance with subsections (2) to (4) below.

(3) In subsection (2) (rate where destination is in an EEA State etc)—

(a) for “The rate is £10 if that place” substitute “If the place where the passenger’s journey ends”, and

(b) after paragraph (b) add— “the rate shall be determined in accordance with subsection (3A) below.

(4) After subsection (3) insert—

“(3A) In a case falling within subsection (2) above—

(a) if the passenger’s agreement for carriage provides for standard class travel in relation to every flight on his journey, the rate is £5;

(b) in any other case, the rate is £10.”.

(5) For subsection (4) (rate where destination is not in an EEA State etc) substitute—

“(4) In a case not falling within subsection (2) above—

(a) if the passenger’s agreement for carriage provides for standard class travel in relation to every flight on his journey, the rate is £20;

(b) in any other case, the rate is £40.”.

(6) At the end of the section add—

“(10) In this section “standard class travel”, in relation to carriage on an aircraft, means—

(a) in the case of an aircraft on which only one class of travel is available, that class of travel;

(b) in any other case, the lowest class of travel available on the aircraft.”.

(7) In consequence of the provision made by the preceding provisions of this section, in section 39 of the [1994 c. 9.] Finance Act 1994 (schemes for simplifying operation of reliefs)—

(a) in subsection (4)(b), for “at the rate mentioned in section 30(2) above” substitute—

“(i) at the rate mentioned in paragraph (a) of section 30(3A) above, and

(ii) at the rate mentioned in paragraph (b) of that provision”;

(b) in subsection (4B)(c), for “at the rate mentioned in section 30(2) above” substitute—

“(i) at the rate mentioned in paragraph (a) of section 30(3A) above, and

(ii) at the rate mentioned in paragraph (b) of that provision”;

(c) in subsection (8)(b), for the words from “on the carriage” to the end substitute—

“(i) on the carriage of each of those falling within paragraph (a) of section 30(4) above at the rate mentioned in that paragraph, and

(ii) on the carriage of each of those falling within paragraph (b) of section 30(4) above at the rate mentioned in that paragraph”; and

(d) in subsection (8A)(c), for the words from “on the carriage” to the end substitute—

“(i) on the carriage of each of those falling within paragraph (a) of section 30(4) above at the rate mentioned in that paragraph, and

(ii) on the carriage of each of those falling within paragraph (b) of section 30(4) above at the rate mentioned in that paragraph”.

(8) This section applies to any carriage of a passenger on an aircraft which begins on or after 1st April 2001.