GST Council’s Decision on Tax for Foreign Airlines a ‘Positive Development’: IATA

By: Admin
September 13, 2024
Categories: GST Council | 4 Min Read

The International Air Transport Association (IATA) has welcomed the GST Council’s recent decision to exempt the import of services by foreign airline establishments in India from taxation. This development addresses a long-standing issue concerning GST demands of over Rs 10,000 crore issued to 10 foreign carriers operating in India.

IATA’s chief, Willie Walsh, described the decision as a positive step that resolves the concerns raised by the aviation industry. The exemption, along with the regularization of the past tax period on an ‘as is where is basis,’ alleviates the burden on foreign airlines, which had previously faced hefty GST demands.

IATA had earlier expressed disappointment over the Directorate General of GST Intelligence (DGGI) issuing show cause notices to foreign airlines, arguing that the GST application on expenses incurred by foreign airline headquarters did not align with global norms for international air transport.

GSTCouncil #IATA #ForeignAirlines #AviationNews #GSTExemption #TaxRelief #AviationIndustry #IndiaAviation #GlobalAirlines #GST