From September 15, return flights will be 515 baht, plus extras.
Sceptics on Phuket have noted that it's not possible to get from one end of Phuket to the other in a new meter taxi for 515 baht.
Lion's prices are likely to make it difficult for officials to explain the new taxi fares, which are supposed to be cheaper than the old taxi fares.
Lion, with its home in Indonesia, will begin with one flight a day each way between Phuket and Bangkok and aims to increase that as fast as possible to five flights a day.
The Bangkok-Phuket route is highly competitive with AirAsia and Nok among Lion's competitors at the low-cost end of the market.
Although Lion will only be using an ATR 72-600 (capacity 72) and a Boeing 737 900-ER (215 seats) to start with, the aim is to have 50 aircraft linking Thailand to Hong Kong, China and Singapore within five years.
Lion is Indonesia's largest privately run airline, capturing the largest share of the domestic market.