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Government to Cover Part of VAT on Domestic Airfare for 2025-2026 Year-End Holidays

  • The government will cover 6% of the 11% VAT on domestic economy class air tickets during Christmas 2025 and New Year 2026.
  • Passengers will pay only 5% VAT for tickets bought between October 22, 2025, and January 10, 2026, for flights between December 22, 2025, and January 10, 2026.
  • The incentive applies only to economy class on domestic routes; other classes or dates are excluded.
  • Airlines must issue valid tax documents and report VAT DTP transactions electronically by April 30, 2026, or risk losing the facility.
  • The regulation took effect on October 15, 2025.

Source: internationaltaxreview.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.



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