Flight Plus TOMS Open letter to ABTA and CAA

To Luke Pollard/ Andy Cohen

Cc Mark Tanzer

Flight Plus TOMS VAT

Luke, as discussed on the phone I am concerned about HMRC seeing Flight Plus as an opportunity to broaden the net of TOM’s VAT to include travel agents that are dynamically packaging. I therefore think its imperative that ABTA as our industry body, seeks written guidance from HMRC as to “exactly” what contractual arrangements must be put in place once Flight Plus ATOL’s are introduced in April 2012.
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Endacott calls for CAA to give clarity over “knock on” issues of Flight Plus ATOL.

You begin to wonder if the CAA is playing a clever game by further delaying the release of the consultation paper on the Flight Plus ATOL reform.
As an industry we seem to be slowly accepting that Flight Plus is inevitable and that we just need to make the most of it, until airlines are brought in sometime in the future via the much needed “Primary Legislation” (Just witness the ABTA Matters debate)
However, even this defeatist attitude still requires the CAA to deal with two fundamental issues. Continue reading