US low-cost airlines seek temporary tax relief to address soaring fuel costs

Sun Country Airlines Holdings

20/04/2026 20:29

WASHINGTON, April 20 (Reuters) - The CEOs of major low-cost airlines are set to meet Tuesday with U.S. Transportation Secretary Sean Duffy as they urge Congress to provide temporary tax relief to partially offset the soaring cost of jet fuel sparked by the war with Iran.

A group representing Spirit Airlines, Frontier Airlines ULCC.O, Allegiant Air ALGT.O, Sun Country SNCY.O and Avelo last week wrote leaders in Congress asking lawmakers to pass legislation to suspend the 7.5% federal excise tax on airline tickets and $5.30 per segment tax. Waiving the fees would offset about one-third of the incremental cost of higher jet fuel, said the Association of Value Airlines.

 (Reporting by David Shepardson)

 ((David.Shepardson@thomsonreuters.com; 2028988324;))