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Tue, Oct 15, 2019 | Last Updated 9:03 am IST

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Airlines have to pay taxes for certain services

Airlines have to pay taxes for certain services
Airlines have to pay taxes for certain services

Reportedly officials said oil marketing companies have cited issues like sales tax as a barrier to the Civil Aviation Ministry's plan to rationalize additional charges that airlines have to pay while uplifting aviation turbine fuel (ATF) at airports across india. Currently, airlines have to pay taxes for certain services, such as 'throughput charges', 'into-plane charges' and 'fuel-infrastructure charges' when they take the ATF at any airport for their planes.

Airlines have to pay taxes for certain services

A senior government official said "These charges are taxed multiple times as they are billed in a circuitous manner”. Furthermore a second official said the Ministry of Civil Aviation had formed a committee to develop a direct billing mechanism between airline companies and airport operators so that these multiple taxes can be removed.

During one of the meetings of the committee, the official said, the OMCs Indian Oil, Hindustan Petroleum and Bharat Petroleum stated that the state governments would be reluctant to let go of the tax revenues that come from the circuitous billing.


Airlines have to pay taxes for certain services
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