Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: due date for vat payment :: list of goods taxed at 4% :: VAT Audit :: cpt :: VAT RATES :: articles on VAT and GST in India :: ARTICLES ON INPUT TAX CREDIT IN VAT :: TDS :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: Central Excise rule to resale the machines to a new company :: form 3cd :: ACCOUNTING STANDARDS :: empanelment :: ACCOUNTING STANDARD :: TAX RATES - GOODS TAXABLE @ 4%
 
 
Sales Tax »
 India finalises bills to launch new sales tax in July
 NMC to implement new tax system from Apr 1a
 13 per cent sales tax boost post demonetisationa
 Arun Jaitley May Lower Corporate And Income Tax Rates But Hike The Service Tax Rate
 Tax on high seas sales becomes dispute area
  State extends GST enrolment deadline
 State extends GST enrolment deadline
 To protect its status, state forms panel to draft legislation on GST
 India Fails to Break Deadlock on New Sales Tax
 Sales tax staff protest against goods service tax council
 Income tax survey on city jeweller

Ask state governments to cut sales tax on ATF: Commerce Ministry advises Finance Ministry
September, 10th 2012

The Commerce Ministry has asked its finance counterpart to urge the state governments to reduce sales tax on jet fuel to help cash-strapped airlines.

Jet fuel constitutes almost half of an airline's operating costs in the country, compared to 20-25 per cent globally, due to high taxes on aviation turbine fuel levied by different states -- ranging from 4 per cent to 30 per cent.

The airlines have been demanding reduction in sales taxes by the state government.

In a letter to Finance Secretary R S Gujral, Commerce Secretary S R Rao has asked him to intervene in the matter.

"The Commerce Ministry has asked its finance counterpart to take up the issue with respective state governments to bring down the sales tax on ATF. The move would hugely benefit domestic airlines, which are facing huge credit problem," an official told PTI.

According to the official, there is a difference of 5 per cent in sales tax on aviation turbine fuel (ATF) in Mumbai and Delhi. While Delhi has 20 per cent sales tax on ATF, Mumbai levies 25 per cent and thus the number of airlines refuelling their planes in the national capital now is twice as much as in Mumbai.

"State governments would get benefit in terms of revenue by lowering the taxes as more and more planes would land there.

Although the Commerce Ministry has allowed direct import of ATF by the airlines.

Kingfisher has been allowed to import five lakh kilolitres of ATF worth Rs 2,233 crore; SpiceJet 50,000 kilolitres worth Rs 235 crore; IndiGo 7.15 lakh kilolitres worth Rs 3,200 crore, Go Airlines two lakh kilolitres worth Rs 1,200 crore and Air India one lakh kilolitres worth Rs 50.39 crore.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - Achievements

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions