June 4 (Punjab Khabarnama) : Global airline group IATA on Tuesday expressed concern over an Indian agency’s investigation into some charges related to Goods and Services Tax (GST) on some foreign airlines. The Directorate General of GST Intelligence (DGGI) has started an investigation against some foreign airlines operating in India. IATA’s ‘Country Director’ Amitabh Khosla said here that currently investigations are being conducted against 10 foreign airlines and this step is ‘unprecedented’.
He said that the International Air Transport Association (IATA) has given a detailed report to the Government of India on this issue. Airlines have received notices from October 2023. Regional Vice President of North Asia and Asia Pacific Region (Interim) Shi Xingquan also mentioned the GST issue in a ‘briefing’ held during the annual general meeting of IATA.
The statement said, “The airline’s branch offices in India do not play any role in important functions like aircraft leases, contracts for crew and pilots, fuel and maintenance costs. All operations to and from India are decided, controlled and managed by the head offices of the airlines. It is not legally correct to hold branch offices in India responsible for any strategic and/or operational risks and functions.” India is one of the fastest growing civil aviation markets in the world. IATA is a group of more than 330 airlines, handling more than 80 per cent of global air traffic.
