SC upholds tax demand on fees collected by airport authority from airlines, cargo operators, exporters
New Delhi: In a setback for the Airports Authority of India (AAI), the Supreme Court on Tuesday upheld a service tax demand of ₹8.59 crore on fees collected by the airport regulator from airlines, cargo operators, and exporters between 2003 and 2007.
A two-judge bench, comprising Justices Pankaj Mithal and Prasanna B. Varale, dismissed AAI’s appeal, affirming a 2017 ruling by the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) Delhi that previously upheld the tax demand.
