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U.S. Takes on EU Over Carbon Tax

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    Airlines for America S.V.P. of Global Government Affairs Sean Kennedy on the EU’s carbon emissions tax on airlines.

  • Duration 2:42
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Now money updates your story we've been following we brought you a little while back congress hasn't taken lightly an attempt by Europe to tax US airlines.

Whether carbon footprint and over the weekend.

The senate unanimously passed a bill against the plan.

Seeing flights in and out of Europe don't have to buy allowances for their carbon emissions.

But will this bill set the stage for a cross Atlantic showdown.

Here to discuss is Shawn Kennedy.

President of global government affairs for airlines and for America thanks so much for joining -- don't have a lot of times -- wanna get right to it.

Does the US government have the jurisdiction.

To stop the EU from doing this from from charging this -- Absolutely -- international bodies in place to the United Nations that the United States could appeal to.

It's really shocking with the EU is trying to do they are trying to put -- tax.

Basically on every passenger that flies into the EU.

Even for emissions and for actions that are occurring in the United States.

-- something that the United States could not due to Europe because we signed a trade agreement saying we wouldn't -- every other country of the world assigned the same agreement.

Yeah the EU would did not sign -- -- folks are hiding behind that but the United States could actually interesting -- this by filing a lawsuit.

No -- I mean in my mind it's total insanity you just flying through Europe's airspace and you get hit with this tax.

I -- that the senate has passed a bill I understand to step in and stop this it's still got to go through the house and be signed by the president what do you think -- -- gonna make it.

-- the legislation it's that the house just passed similar legislation so as the Senate's a number one in near where congress can't agree on anything it's very encouraging that both parties right now agree that this is the wrong approach.

We think that the congress is going to be able to pass legislation after the elections in the so called lame duck cycle.

When duck session and senate bill to the president this the president can act right in the White House connect right now without this legislation we wanna try to give them another tool to make sure they do the right thing.

What strikes -- about this is just the pure stupidity of it because you tax things you want to discourage.

And Europe right now needs tourists more than anything else I mean their economy is her hurting.

The only thing that would help Greece right now is if everybody showed up to -- the Acropolis.

See you wanna tax everybody who might be coming to do just that.

And they were -- going wrong with that.

You're not right now it's remarkable and EU airline tickets right now are most heavily taxed consumer products out there that they -- paid about 20% of deer -- every ticket is in the foreign taxes.

That's more than alcohol tobacco and and firearms which are things -- were trying to which are things that sin taxes yeah and so it's a -- -- consumers.

Yeah yet -- Kennedy thank you so much for coming on and keep us updated on this Europeans to --