The Air Passenger Duty (Connected Flights) Order 1994

Explanatory Note

(This note is not part of the Order)

This Order determines when two flights shall be treated as connected for the purposes of exemption from air passenger duty or for establishing which of two rates should apply.

As regards the exemption, section 31(3) of the Finance Act 1994 c. 9 provides, in general, that the second of two flights of a passenger shall not attract the duty that would otherwise be chargeable, if those two flights are connected by virtue of the provisions of this Order.

With regard to the rates, section 30 imposes two rates: a lower rate for a journey ending at a place within the EC, and a higher rate for a journey ending outside the EC. A passenger’s journey ends for these purposes at the final place of destination. In the case of a journey involving two or more flights by the passenger, section 30(6) provides that the final place of destination in question is the airport or place of arrival of the flight which is not followed by a connected flight.

This Order provides two rules (A and B) for determining whether or not successive flights in question are to be treated as connected for the above mentioned purposes, each rule being respectively applicable to two situations or cases.

The Case A Rule is used in the case of a passenger transferring to a domestic flight as defined in the Order; and, in general terms, the second flight is connected to the first flight where the transfer by the passenger to the second flight is effected by a particular time or within a period specified in the Table for this Rule. For example the second flight is connected if it is effected by or at 10 am of the day following the scheduled day of arrival of the first flight, when the scheduled time of arrival of the first flight falls in the period after 5pm to midnight on the scheduled day of its arrival. Another example: the second flight is connected if it is effected by or at 10 am of the scheduled day of arrival of the first flight, when the scheduled time of arrival of the first flight falls in the period after midnight to 4.00 am of the scheduled day of its arrival.

The Case B Rule, governing a transfer to an international flight, employs a 24 hour period which starts at the scheduled time of arrival of the first of the two flights in question. The two flights in question are connected if the transfer is effected within that 24 hour period.

In each of the two cases respectively the two flights in question are not connected if the passenger’s destination, following the transfer, is the airport or country from whence he came on the first flight in question.