Union civil aviation minister Jyotiraditya Scindia on Tuesday urged states to reduce the tax on jet fuel as they account for a significant part of an airline’s operational costs.
The Value Added Tax (VAT) on jet fuel is still high in eight states and Union Territories at 20-30 per cent.
The minister requested Goa, Assam, Delhi, Maharashtra, Bengal, Rajasthan, Bihar and Tamil Nadu to reduce VAT on aviation turbine fuel (ATF). He was speaking at the civil aviation ministers’ conference in the national capital.