Aviation ministry seeks sop extension

The civil aviation ministry has sought continuation of the exemption on withholding tax on aircraft leased from foreign companies in the next budget for another year, saying it would benefit several airlines in the country.

"We have made a request to the finance minister to consider continuation of the exemption on WHT", Civil Aviation Minister Praful Patel said in New Delhi.

He said his ministry has also sought consideration of aviation turbine fuel as a 'declared good' so as to ensure lower cost of air travel to benefit the passenger. "Indian aviation industry is witnessing a boom and all airlines including the private ones are going to acquire aircraft and utilise the leasing option.

Continuation of the exemption for another year would definitely be beneficial," Patel said in reply to questions.

He said both the WHT and ATF issues would ultimately be "useful and helpful" to the consumer as well as the industry.