AVIATION POLICY

Editorial cartoon showing a smiling passenger with glasses holding a rolling suitcase at an airline check-in counter, where the agent's computer screen displays the word "FREE," illustrating the proposal to make checked bags free as a condition of any Spirit Airlines government bailout

If Spirit Airlines gets a government bailout, bags should fly free

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Spirit Airlines has reportedly asked the Trump Administration for $360 million in emergency funding as jet fuel prices doubled following the Iran conflict. After 9/11, Congress provided $5 billion in grants and $10 billion in loan guarantees to airlines. The COVID-19 Payroll Support Program delivered over $50 billion with conditions including killed change fees, capped executive pay, and restricted buybacks. Any new bailout should require Spirit to include one free checked bag in every fare for a minimum of five years, making taxpayer support deliver tangible passenger benefits.

Editorial cartoon showing an IRS official in a dark suit holding a briefcase labeled "IRS" watching a commercial airplane taking off, depicting the tension between tax authorities and budget airlines seeking a tax holiday during the jet fuel crisis

Budget airlines want a tax holiday—but where’s yours?

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The Association of Value Airlines, representing Spirit, Frontier, and Allegiant, is asking Congress to suspend the 7.5 percent federal excise tax on domestic tickets and the $5.30 per-segment fee, citing the jet fuel crisis following the Iran war. On a typical $369 roundtrip fare, passengers already pay roughly $47 in mandatory taxes and fees, inflating ticket prices by about 13 percent. Without a requirement to pass savings to consumers, any tax holiday would function as a corporate subsidy rather than traveler relief.