Govt Enforces ‘Melt and Pour’ Rule for All Steel in Public Projects Nippon Steel expected to finalize U.S. Steel acquisition at $55 per share NMDC Limited reports a 38% drop in Q4 FY24 consolidated net profit RINL to Raise $23 Million Through Land Sales Amid Crisis
The GMR group-managed Delhi International Airport Limited has approached Delhi Chief Minister Arvind Kejriwal, advocating for a reduction in value-added tax (VAT) on aviation turbine fuel (ATF) from 25% to 1%, citing potential business erosion to the upcoming Noida airport.
Presently, jet fuel in Delhi incurs a tax rate of 25%, while neighboring Uttar Pradesh's Noida airport applies a mere 1% tax on ATF. The PHD Chamber of Commerce and Industry, representing the airport, emphasized the need for VAT parity to maintain Delhi's competitiveness in the wake of Noida's impending one percent VAT rate.
Ranjeet Mehta, Executive Director of PHDCCI, highlighted the risk of airlines shifting operations to Noida due to this tax discrepancy, potentially rendering Delhi airport uncompetitive. The Delhi airport, a pivotal hub in the country, expressed concern about the viability of its operations against the looming competition from Noida.
The Noida airport, slated for launch by late 2024, is actively progressing with terminal construction and ancillary facilities. Collaborations with airlines, including IndiGo as the launch carrier, are underway, indicating the airport's readiness to serve.
The move follows interventions by Civil Aviation Minister Jyotiraditya Scindia, prompting nineteen states to reduce VAT on jet fuel. However, Delhi, along with four other states, continues to impose relatively higher tax rates, raising concerns of potential business diversion to regions with lower tax burdens.
As the aviation landscape evolves with the emergence of new airport hubs, the issue of tax differentials on jet fuel emerges as a critical factor impacting the competitive landscape for aviation operations across states in India.
Also Read : GST compensation cess may get a new avatar MOIL Limited Posts 27% Rise in Net Profit for Q4 FY 2024-25
The Review Planning & Monitoring (RPM) meeting convened in New Delhi on January 18th and 19th, 2...
Press Releases 20-Jan-2024
New Delhi, — In a landmark move that is expected to energize the backbone of India's industria...
Press Releases 24-Mar-2025
Union Minister Nitin Gadkari has unveiled a plan for over 200 ropeway projects, costing ₹1 lakh cr,...
Press Releases 24-Jan-2024
In a significant move towards bolstering Goa's development trajectory, Prime Minister Narendra Modi...
Press Releases 06-Feb-2024
West Bengal's Finance Minister Chandrima Bhattacharya presented the state budget for the financial y...
Announcement 09-Feb-2024
The Ministry of Coal reported an impressive surge in coal production, reaching 99.73 million tonnes...
Press Releases 05-Feb-2024