Jyotiraditya Scindia pitches for rationalisation of tax rates on jet fuel

Emphasising the need to rationalise tax rates on jet fuel, Civil Aviation Minister Jyotiraditya Scindia on Thursday said lower rates will bring in more flights and act as an economic multiplier that will be “50 to 100 times more” than what states earn from a low level of revenue from Value Added Tax (VAT). Aviation turbine fuel (ATF) cost is a significant component of the operational expenses of carriers and the civil aviation ministry has been pitching for lower rates in order to boost the airline industry that has also been adversely hit by the coronavirus pandemic.