GST on Jet Fuel: Civil Aviation and Revenue secretaries to meet
New Delhi [India], May 22 (ANI): The Ministry of Civil Aviation Secretary will meet the Revenue Secretary on Tuesday on the issue of bringing aviation turbine fuel (ATF) or jet fuel under the Goods and Service Tax (GST) regime, according to sources.
ANI
May 22, 2018 17:11 IST
New Delhi [India], May 22 (ANI): The Ministry of Civil Aviation Secretary will meet the Revenue Secretary on Tuesday on the issue of bringing aviation turbine fuel (ATF) or jet fuel under the Goods and Service Tax (GST) regime, according to sources.
Reacting on this, Ministry of Civil Aviation Secretary Rajiv Nayan Choubey today said that bringing Aviation Turbine Fuel (ATF) under the GST regime will benefit the customers as there will be no increase in airfare.
"If Aviation turbine fuel (ATF) is brought under the GST regime then we can get input tax credit, it will also benefit the customers since there will be no increase in airfare," Choubey told ANI.
All petroleum products are presently outside the territory of the GST.
Due to the price hike, following the increase in global crude oil rates, Union Petroleum and Natural Gas Minister Dharmendra Pradhan had recently appealed to the GST council to bring petrol and diesel under the regime, to ensure uniform taxation.
But as of now, there have been no talks over bringing ATF under the GST regime.
For the unversed, an input tax credit is claimed when a firm pays tax on output after dropping the tax already paid on inputs.
In relation to airlines, output would be tickets and input would be items like the ATF. (ANI)
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