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Car rental taxes drive cos. outside airports.

Publication: Business Travel News
Publication Date: 18-APR-05
Format: Online - approximately 1336 words
Delivery: Immediate Online Access

Article Excerpt
Mounting state and local taxes at airport car rental locations are spurring some travel managers to consider less costly off-airport sites. Yet, such decisions are difficult to implement.

Local and state taxes make up a far bulkier part of the total car rental cost at the 100 most heavily trafficked U.S. airports than at nearby off-airport locations, according to a Travelocity study released late last month. Such add-ons averaged nearly 26 percent of the whole, compared with a 14 percent average for off-airport locations.

"There are more fees associated with airport rentals," said Nell Abrams, president of Abrams Consulting Group. "That's one incentive, perhaps, for travelers to consider renting off of airport grounds where possible. You could take a cab from Logan airport in Boston and even if you paid 10 bucks to get a cab out of the airport and rent at the downtown location or a suburban location, you'd probably save money--even after paying cab fare," Abrams said.

Hewlett-Packard global airline and car travel supplier manager Kevin Iwamoto told his company's travelers to rent vehicles from on-airport locations when arriving in certain cities.

"As a general rule of thumb, we've asked travelers not to just automatically pick up the car...

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