Flair Airlines owes $67 million in unpaid taxes as CRA opens door to seize carrier's property
Airline's CEO says the company and CRA have agreed on a payment plan
The Canadian Press
Posted: Jan 29, 2024 2:45 PM EST | Last Updated: 3 hours ago
Court documents show Flair Airlines owes the federal government $67.2 million in unpaid taxes, prompting the Canada Revenue Agency (CRA) to obtain an order for the seizure and sale of the carrier's property.
The money relates to import duties on the roughly 20 Boeing 737 Max jetliners that make up the budget airline's fleet and "which were needed to meet the travel demand in a post-COVID world," CEO Stephen Jones said.
However, he said the Federal Court order obtained by the tax agency in November has no impact on the carrier's operations, which have expanded over the past year and ramped up competition with rival airlines, and that the company has agreed to settle the debt.
"We have a mutually agreed-upon payment plan with CRA to pay these importation duties, and we are current with that plan," Jones said in an emailed statement to CBC News, adding that the terms of the deal are confidential.
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https://www.cbc.ca/news/business/fla...rder-1.7098045