Bengaluru: The Centre has asked Karnataka government to reduce the taxes on aviation turbine fuel. Speaking at launch of Air Pegasus, civil aviation minister Ashok Gajapathy Raju said, "Taxes are an impediment to MRO activity. I have asked Finance ministry to look into it. If no activity, there's no revenues."
ATF is in the range of 1% to 30 % today. It's a dampener to aviation activity, he added. "We need to simplify the tax structure to make the sector attractive," Raju said.
"In the process of conneting the small airports numbering about 30 in the country, small airlines need to be encouraged. With economic activity picking up, its imperative to connect the smaller airports and for this we need small airlines. We need activities on a sustainable basis. As of now regional connectivity is priority for us," Raju said.
The centre, Raju said, is in the process of developing a policy to encourage small airlines to take interest for connecting to small airports. There can be no regional connectivity if small airports are not helped, he said.
12/04/15 Praveen Bose/Business Standard
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ATF is in the range of 1% to 30 % today. It's a dampener to aviation activity, he added. "We need to simplify the tax structure to make the sector attractive," Raju said.
"In the process of conneting the small airports numbering about 30 in the country, small airlines need to be encouraged. With economic activity picking up, its imperative to connect the smaller airports and for this we need small airlines. We need activities on a sustainable basis. As of now regional connectivity is priority for us," Raju said.
The centre, Raju said, is in the process of developing a policy to encourage small airlines to take interest for connecting to small airports. There can be no regional connectivity if small airports are not helped, he said.
12/04/15 Praveen Bose/Business Standard
