2.50 euros. That is how much you save per short-haul flight once Germany's reduced air travel tax kicks in this July. Sounds promising. But will that money ever appear on your booking confirmation? Probably not.
The German coalition government agreed to lower the Luftverkehrssteuer (aviation tax) back to pre-May 2024 levels starting July 1, 2026. Transport Minister Patrick Schneider was blunt about it: the tax cut does not automatically mean cheaper tickets. So will flights from Germany get cheaper in 2026? Honestly, I doubt it.
What Changes in July 2026: The Numbers
The German air travel tax cut applies to all three distance bands. Here are the rates according to Zoll.de, Germany's official customs authority:
| Route type | Current rate (since May 2024) | From July 2026 | Saving per ticket |
|---|---|---|---|
| Short-haul (EU, up to 2,500 km) | 15.53 EUR | ~13.03 EUR | ~2.50 EUR |
| Medium-haul (up to 6,000 km) | 39.34 EUR | ~33.61 EUR | ~5.73 EUR |
| Long-haul (over 6,000 km) | 70.83 EUR | ~60.91 EUR | ~9.92 EUR |
Total industry relief comes to roughly 350 million euros per year. Sounds like serious money. Per passenger on a typical Mallorca flight? That is your 2.50 euros.
One detail worth noting before you get excited: the tax only applies when departing from Germany. On the return flight from Mallorca, you pay nothing. So you do not get that 2.50 euros twice.
Will Airlines Pass the Savings On?
Airlines have already shown us how they handle tax cuts. They pocket the money.
The Handelsblatt reported that analysts do not expect airlines to pass savings along to passengers. Lufthansa CEO Carsten Spohr told the Handelsblatt separately that a global aircraft shortage will keep ticket prices elevated. Flight prices in Germany in 2026 are staying high despite the tax cut. Analysts see no structural change on the horizon.
The German parliament's own assessment sees little prospect of cheaper tickets. Will German flights get cheaper in 2026? Based on everything available: no.
Ryanair goes further. Rather than promising fare reductions, CEO Eddie Wilson called for the tax to be abolished entirely. They did announce 300,000 additional seats for summer 2026, which is something. More capacity, not necessarily lower prices.
More meaningful for passengers is the new EU rule on free cabin luggage, which could oblige airlines to provide two free pieces of luggage. That would be real value, far beyond a 2.50 euro tax saving.
The German Air Travel Tax 2026: What Actually Saves You Money
I think most travelers overlook where the real savings are. Be honest with yourself: how many times have you thought "I'll just check a bag" at booking, then felt that gut-punch at the gate? The 2.50 euro tax saving is less than an airport coffee.
Now compare that to checked baggage fees.
A 20 kg checked bag on Ryanair runs 18.99 to 59.99 euros per leg. At the gate, that jumps to 75 euros. A family of four flying return to Mallorca with one checked bag each could spend somewhere between 150 and 480 euros on luggage fees alone. The total tax saving for the same family? Maybe 10 euros (4 passengers times 2.50 euros, outbound only, since the tax only applies when departing from Germany).
Knowing the Ryanair hand luggage rules and flying carry-on only saves 10 to 20 times more than any tax cut ever could. A solid cabin suitcase like the BEIBYE Hartschalen-Koffer Trolley Rollkoffer Reisekoffer Handgepäck 4 Rollen 55cm starts at around 30 euros and pays for itself on the first trip. For a bit more, the Cabin Max Anode Handgepäck Koffer 55x40x20 - Leicht, Hartschale, Handgepäck Trolley mit 4 Rädern, 3-stelliges Schloss or the tried-and-tested Samsonite Base Boost Handgepäck Koffer 55x40x20 cm, Weichgepäck Kabinenkoffer mit 2 Rollen are worth a look.
Which model suits you best is covered in our carry-on luggage test, where we compared seven models from budget to premium.
Curious which suitcase fits which airline? Check our guides on easyJet hand luggage rules and the latest on Ryanair route changes.
BEIBYE Hartschalen-Koffer Trolley Rollkoffer Reisekoffer Handgepäck 4 Rollen 55cm
Forget the Tax Hype. Pack Smarter.
The Luftverkehrssteuer reduction is a political gesture, not a wallet-changer. Airlines set prices by supply and demand, not tax brackets. The BDL (German aviation association) stated that real competitiveness would need around 2 billion euros in annual relief. The 350 million? Just a first step.
You cannot get that 2.50 euro tax saving back. But you can avoid the baggage surcharge entirely. A decent carry-on bag, one practice pack at home, and you sidestep fees that cost families 150 to 480 euros on a single Mallorca trip.
Rather than waiting around to see whether cheaper flights from Germany in 2026 ever materialise, focus on choosing the right carry-on bag and skip the checked-bag counter entirely.
That is not a consolation tip. That is simply where the money actually sits.