IATA opposes GST levy on foreign airlines in India
Foreign airlines operating in India should not be liable to pay goods and services tax (GST) on services provided by their headquarters to local offices in India, International Air Transport Association ( IATA) said on Tuesday.
The Directorate General of GST Intelligence had issued summons to foreign airlines for alleged tax evasion for import of services by airlines in India.
While investigations are underway, IATA has opposed the government move and said the costs incurred by airline head offices should not be liable to GST. IATA is an airlines body representing 330 carriers globally.
These cover costs related to operations such as aircraft rental costs, crew and pilot costs in relation to passengers embarking from India.
