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Warning Travel Tax could cost Jobs

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New Zealand's looming travel tax could cost the country hundreds of jobs and is a breach of International Aviation principles, a Global Airline Organisation warns. The International Air Transport Association (IATA) says the fees which could add up to close to $22 for a round trip international air fare would have a "profound negative impact" on air travel demand and tourism. At its maximum proposed level, the tax could cost the Aviation Industry $33 million and 207 jobs and tourism would be hit by the loss of $196 million and 1702 jobs. In a submission to this country's Ministry of Transport, the association said the tax would contradict International Civil Aviation Organisation principles that New Zealand had signed up to. One clause states: "Civil Aviation should not be charged for any costs that would be incurred for more general security functions performed by States such as general policing, intelligence gathering and national secur