Stay updated
Acting on the recommendations of GST Council, the Central Board of Indirect Taxes & Customs (CBIC) has ‘regularised’ past show cause notices for tax demand issued to foreign airlines. It has also issued a circular regarding applicability of GST on Preferential Location Charges (PLC) for residential or commercial properties.
As the 54th GST Council has granted exemption to the foreign airlines, various sectors facing tax notices on import of services are urging the government for clarity on the issue.
The Centre may grant GST relief to Infosys, foreign shipping lines and foreign airlines, CNBC-TV18 reported. The government is mulling changes in a June circular in the forthcoming GST council which is scheduled for September 9.
The government is likely to introduce Goods and Services Tax (GST) relief measures for major players, including Infosys, foreign airlines, and foreign shipping lines, according to sources familiar with the matter.
The Goods and Services Tax (GST) Council in its meeting on June 22 is likely to give tax relief on the import of maintenance, repair and operations (MRO) services for foreign airlines in India from the current 18 percent, a government official said.
India could exempt supply of services between the head offices and local entities of foreign airline operators from the goods and services tax (GST), said people familiar with the matter.
India may consider exempting services rendered between the head offices and local branches of foreign airline operators from the goods and services tax (GST).