Govt. Reduces GST To 5% On Domestic Maintenance, Repair and Overhaul Services In Aviation Industry
The Ministry of Civil Aviation has notified the reduction in Goods and Service Tax (GST) from 18% to 5% on Domestic Maintenance, Repair, and Overhaul Services. The press release stated that the average number of passengers carried in the pre-COVID financial year (2019–20) was around 4 lakh per day. On March 6, 2022, domestic airlines in India carried around 3.7...
The Ministry of Civil Aviation has notified the reduction in Goods and Service Tax (GST) from 18% to 5% on Domestic Maintenance, Repair, and Overhaul Services.
The press release stated that the average number of passengers carried in the pre-COVID financial year (2019–20) was around 4 lakh per day. On March 6, 2022, domestic airlines in India carried around 3.7 lakh passengers.
The issue of a reduction of Value Added Tax (VAT) on aviation turbine fuel (ATF) has been taken up with the States and the UTs.
The 11 states/UTs, namely Andaman & Nicobar Islands, Dadar & Nagar Haveli, and Daman & Diu, Gujarat, Haryana, Himachal Pradesh, Jammu & Kashmir, Ladakh, Madhya Pradesh, Tripura, Uttar Pradesh, and Uttarakhand, have reduced the VAT on ATF below 5%.