UK Government Reviews Tax Changes Impacting Airline Crew Expenses
HMRC update over tax changes affecting Ryanair, EasyJet, TUI, Jet2 flights
Mirror
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The UK Government has responded to a petition with over 11,000 signatures calling for a review of tax scale rates affecting airline staff, including those from Ryanair and EasyJet. The current system has been criticized for being unfair and not reflective of actual travel costs incurred by employees, particularly cabin crew.
- 01The petition, supported by over 11,000 individuals, demands a review of scale rate expenses for employees traveling abroad.
- 02Current scale rates are criticized for penalizing workers when travel delays drop them to lower payment tiers.
- 03The Treasury stated that the overseas scale rates (OSR) are designed to reimburse travel costs without requiring receipts.
- 04Employers can opt for bespoke rates with HMRC if standard rates do not reflect their employees' actual costs.
- 05The Government keeps all tax policies under review as part of its broader financial strategy.
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The UK Government has issued a response to a petition with over 11,000 signatures regarding tax scale rates that affect airline employees, particularly cabin crew from airlines like Ryanair and EasyJet. The petitioners argue that the current system is 'completely unfair' and does not accurately reflect the costs incurred by employees traveling abroad for work. They highlighted issues such as being penalized for flight delays that can reduce their expense payments significantly. The Treasury explained that the overseas scale rates (OSR) are meant to provide a consistent framework for tax-free subsistence payments, but acknowledged that employers can negotiate bespoke rates with HMRC if the standard rates do not suit their specific circumstances. The Government has committed to reviewing all tax policies as part of its ongoing financial management.
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The changes could lead to fairer compensation for airline crews, addressing the financial burdens they face during international travel.
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