Is Kingfisher defaulting on TDS payment?

New Delhi: Battling serious financial troubles, is Vijay Mallya-owned Kingfisher even defaulting on payment of tax deducted at source (TDS)? The Airports Authority of India (AAI) has found that the airline had deducted almost Rs 21 crore in payments made to it for the financial year 2010-11 but the same was not being reflected as tax deposited on its behalf. The authority has now asked Kingfisher to pay this sum to it, along with other dues of Rs 200 crore.
"The TDS certificates were not submitted despite this amount (Rs 20.76 crore) being deducted from the payment made to us. We have asked Kingfisher to pay that amount, along with old dues of Rs 205 crore and interest for three months, failing which we may be forced to take action that may affect their flight schedules," said a senior official. The airline spokesperson did not offer any comment on this issue.
The authority is closely watching if Kingfisher is able to deliver on its promise of clearing the dues from October onwards by paying Rs 10 crore over and above the monthly payment every month. Based on this promise, AAI had removed Kingfisher from cash-and-carry and allowed it to make payments once in every fortnight.
05/10/11 Saurabh Sinha/Times of India

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Categories: Kingfisher Oct 2011