Head of Spirit Airlines calls for no airline tax fees

Head of Spirit Airlines calls for no airline tax feesThe head of U. S. carrier Spirit Airlines Inc. has said that luggage is "not essential" to travel, so paying $45 to place carry-ons overhead helps bag-free people fly.

Chief Executive Officer Ben Baldanza told the U. S. House Transportation Committee on Wednesday, "We are certain that Spirit's decision to unbundle services not essential to the transportation of passengers has enabled more passengers to fly at lower cost. Indeed, given our low fares, it has allowed many to travel who otherwise simply could not afford to do so."

It has been reported that House Democrats, critical of airlines for increasingly charging for checked baggage, seat selection and other services, indicated they were considering legislation to tax the revenue collected from the fees.

Calling the fees a "backdoor price increase" in airfares, House Transportation Committee Chairman James Oberstar, D-Minn., said, "Passengers are paying for meals, for pillows, for blankets, for headphones, for beverages, to check the luggage."

ABC News has reported that Baldanza said Spirit simply sought "to provide maximum choice to passengers to purchase the specific services they want, while keeping fares as low as possible," an a la carte fee model he said was "unique among U. S. airlines."

Taxing fee revenue would not only be unfair to consumers but also hurt the airline industry, he argued.

The Wall Street Journal quoted him as saying, "Such taxes would surely harm competition, raise costs and slow the industry's recovery from a decade of losses."

Ancillary fees, such as $2 for a soft drink, should not be taxed because they "do not use the infrastructure that the tax is intended to pay for," Baldanza further added. (With Inputs from Agencies)