New Delhi: Ministry of Civil Aviation has told national carrier Air India to fuel its aircraft at airports in states where tax on aviation turbine fuel (ATF) is lower.
The direction has been issued even as the minister Ashok Gajapati Pusapati Raju is trying to lobby states to impose lower rates of tax on ATF.
In a first-of-its-kind guideline, aimed at improving the efficiency of Air India. The directive was sent on Monday. The minister has asked the airline to refuel at airports with lower tax on fuel, wherever their network permits. Since ATF is a major component of the expenditure in aircraft operations, efforts should be made to refuel within the cities where the VAT and other taxes on ATF is minimum, provided the same fall within the route of a flight. This measure will help in saving substantial expenditure," reads guidelines sent to Air India.
15/08/14 Economic Times
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The direction has been issued even as the minister Ashok Gajapati Pusapati Raju is trying to lobby states to impose lower rates of tax on ATF.
In a first-of-its-kind guideline, aimed at improving the efficiency of Air India. The directive was sent on Monday. The minister has asked the airline to refuel at airports with lower tax on fuel, wherever their network permits. Since ATF is a major component of the expenditure in aircraft operations, efforts should be made to refuel within the cities where the VAT and other taxes on ATF is minimum, provided the same fall within the route of a flight. This measure will help in saving substantial expenditure," reads guidelines sent to Air India.
15/08/14 Economic Times
