Fuel Tax Law Creates Big Leak In Aviation Trust Fund

Law360, New York (August 17, 2016, 1:20 PM EDT) -- Since 1970, the federal Airport and Airway Trust Fund (referred to as the "Aviation Trust Fund") has been an important source of finance for airport improvements. But the fund has dwindled thanks to a 2006 law, passed to quell fears of a far-fetched (if not fictional) problem — truckers purchasing jet fuel rather than higher-taxed diesel fuel. According to a new report released this month from the Government Accountability Office, the 2006 "fuel fraud law" has cost the Aviation Trust Fund between $1 billion and $2 billion per year, if not more....

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