IATA says higher GST on non-economy class flight tickets ‘disappointing’, counterproductive

Global airlines’ grouping IATA on Thursday termed as “disappointing” the decision to increase the GST on non-economy class flight tickets, “with no justification” and said that taxing premium travellers, where they often make a difference to a route’s viability, is counterproductive.

The Goods and Services Tax (GST) Council, comprising representatives from the Centre and the states, on Wednesday decided on a two-rate structure, 5 per cent and 18 per cent, as part of a major revamp.