NCAA to fine airlines over remittance of 5% ticket sales charge

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The Nigerian Civil Aviation Authority on Thursday said it would sanction airlines that fail to comply with its directive to automate the remittance of the statutory five per cent Ticket Sales Charge and Cargo Sales Charge after the expiration of the deadline today (Friday).

“Failure to comply would be viewed seriously as the necessary provisions of the law would be used against defaulting airlines,” the NCAA said in a statement signed by its General Manager, Public Relations, Mr. Sam Adurogboye. .

The regulator said it had shifted the date from January 31, 2017 to March 31 at the instance of the Airlines Operators of Nigeria following a meeting with the Director-General of the NCAA, Capt. Muhtar Usman.

It explained that the five per cent Ticket Sales Charge/Cargo Sales Charge was an Internally Generated Revenue to the NCAA and other agencies as enshrined in the Civil Aviation Act, 2006 and not a tax or levy on the airlines, but a charge paid by passengers for services rendered towards the development of the aviation industry in the country.

It stated that the introduction of the aviation revenue automation project for revenue collection would aid data integrity, transparency, transaction accountability, controls and revenue assurance.

“With the expiration of this final warning, it is expected that all airlines that are yet to adhere to the automation and remit collected revenues to the NCAA should comply forthwith,” the regulator stated.

The decision to collect the charges by the airlines was mooted by the operators and unanimously agreed upon at the 2001 Civil Policy Review with the sole aim of enhancing passengers’ facilitation, the NCAA said.

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