New Jersey lawmakers back jet-fuel tax hike


New Jersey lawmakers gave preliminary approval to a jet-fuel tax that would force United Continental Holdings Inc. to pay for expanded passenger rail at Newark Liberty International Airport.
Airlines are exempt from the state’s gross-receipts tax on petroleum products, with the exception of the fuel used during taxiing and take-off. A bill approved by the Senate budget committee would change that by taxing all the fuel used by companies that carrying at least 8 million passengers annually. The proceeds would pay for a train service operated by the Port Authority of New York and New Jersey.
Chicago-based United is the only operator large enough to be affected, with 14.6 million passengers boarding at Newark annually.

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