Everything You Need to Know About Air Passenger Tax & the Price of Flight Tickets

Flight tickets have become increasingly expensive in recent years. Part of the cost of a flight ticket is made up of air passenger tax. But which other components influence the price of a flight ticket? We explain how the price of flying is structured, how high the current air passenger tax is, and how you can reclaim it if you do not take your flight.

Contents

1. Air Passenger Tax 2026

2. Structure of the Flight Ticket Price

3. Taxes, Fees & Charges

4. Current Level of Air Passenger Tax

5. What Do Short-, Medium- and Long-Haul Mean?

6. Reclaiming Air Passenger Tax

Air Passenger Tax 2026

From 1 July 2026, the cost of air passenger tax will be reduced again. For example, the tax on short-haul flights will decrease from €15.53 to €12.73. Air navigation charges are also expected to fall. Whether this will lead to cheaper ticket prices for passengers remains to be seen.

After the increase in air passenger tax in Germany in 2024, many airlines cancelled numerous routes. According to the German Federal Government, the reduction in air passenger tax in 2026 is intended to relieve the aviation industry by around €350 million. As a result, airlines are expected to view Germany as a more attractive location again, which could lead to previously discontinued routes being reopened.

Tip: In our magazine you can learn more about the history of airlines, for example the background of KLM, the world’s oldest airline, or how Virgin Airline started as a record label before becoming an airline.

How Is the Price of a Flight Ticket Structured?

The price of a flight ticket consists of three components: the base fare, taxes and fees, and a service charge. These can vary depending on the route and destination country.

1. Base Fare

   The base fare is the airline’s pure flight price for transporting the passenger from point A to point B.

2. Taxes, Fees & Charges

   In many cases, this is by far the largest part of the ticket price. It includes booking fees, airport tax, air passenger tax, VAT, environmental charges and more. Further details can be found in the next section.

3. Service Charge

   The service charge is also part of the ticket price. It may apply, for example, for issuing the ticket and covering administrative costs.

Overview & Explanation of the Different Taxes, Fees & Charges

Flying involves so many different charges and fees that it can be easy to lose track. For this reason, airlines in Germany are required to clearly itemise the individual cost components of a flight ticket. Below is an overview of common taxes and fees. The abbreviations in brackets may vary depending on the airline and country: 

• Booking fees: May apply when booking via third-party providers or when using certain payment methods.

• Airport tax (OAX/XR): Charges levied by the airport for take-off, landing and the use of infrastructure. This also includes terminal usage, ground handling and parking positions.

• Aviation security charge (OQ/DE): Charged per passenger and finances security checks for passengers and baggage. The amount varies depending on the airport.

• Air passenger tax (OY): Government levy per passenger departing from a German airport. The amount depends on the legally defined distance zone.

• Value Added Tax (TAX/VAT): All domestic flights within Germany are subject to 19% VAT on the ticket price.

• Passport control and customs fees (QO): Charges associated with entry and exit procedures.

• Service fee / departure tax (RA/RD): Additional service charges or specific fees that may apply when leaving a country.

• Fuel surcharge / kerosene surcharge (YQ/YR): Formerly known as a “fuel surcharge”. This is not a government tax but an airline-imposed charge to cover fuel costs or market price fluctuations.

• Environmental surcharge (O2): Some airlines show their own environmental or sustainability surcharges. These are not government taxes but internal company charges.

By the way: Environmental organisations are calling for an expansion and increase of air passenger tax and environmental surcharges across multiple countries in order to make flying less attractive and to reduce aviation-related pollution — particularly from higher travel classes and private jets. 

How High Is the Air Passenger Tax Currently?

Air passenger tax (also known as the aviation tax or air transport levy) is a legally required tax in Germany that is charged for every departure from a German airport. Airlines must pay this tax and usually pass it on to passengers through ticket prices.

Currently, the tax is set at the following levels:

Short-haul flights: €15.53*

Medium-haul flights: €39.34*

Long-haul flights: €70.83*

*Status: 03/2026

What Do Short-, Medium- and Long-Haul Flights Mean?

Definitions of short-, medium- and long-haul flights differ from country to country and are often based either on the flight distance or on a combination of distance and flight duration. 

In Germany, all countries worldwide are divided into three categories (Annexes 1, 2 and 3), where the actual distance does not play a role. Annex 1 includes all short-haul flights, Annex 2 all medium-haul flights, and so on. Below is a simplified overview based on Section 11 of the German Air Transport Tax Act:

Annex 1 – Short-haul: Domestic flights within Germany, Europe (continent), Libya, Tunisia, Algeria, Morocco.

Annex 2 – Medium-haul: North and Central Africa, the Middle East, and the Caucasus region.

Annex 3 – Long-haul: All other countries and territories.

How to Reclaim Your Air Passenger Tax

If you do not take your flight (no-show), you are in fact entitled to reclaim part of the ticket price. It does not matter whether the flight was cancelled, forgotten or missed. In many cases, the tax can be reclaimed retroactively for up to three years.

Since government taxes and passenger-specific charges only apply when a passenger actually takes the flight, these can be reclaimed if the flight is not taken. To do so, contact the airline in writing via email or use the appropriate forms provided by the airline to request a refund of your air passenger tax.

Understanding the various taxes, charges and fees included in a flight ticket helps travellers better understand how ticket prices are formed. However, be aware that especially with low-cost airlines, additional charges for checked baggage or certain payment methods are common practice beyond the ticket price.

To avoid such extra costs and save money on your next flight, it is worth taking a look at our flight booking tips. We wish you a pleasant journey!