Prithviraj Chavan, Chief Minister, Maharashtra, recently indicated that the state government may share an "equitable burden" with the Centre to provide relief to the aviation sector by reducing sales tax on aviation turbine fuel (ATF). "The country needs a very robust aviation sector, and a developed state like Maharashtra needs it much more than a state like Mizoram or Manipur,"
Chavan said, according to a report by The Hindu Business Line. "It is clear that the aviation industry is bleeding. Always, when they (airlines) come to us, they request us for lower ATF rates," he said. "The Centre has allowed them to import ATF directly, which means it has lost revenue in some way or the other," he said, adding that the State was also ready to bring down sales tax on the jet fuel. "I have not calculated how much impact will be there. In 2008, the Centre gave a huge stimulus package to re- vive the aviation industry. I think the State will also have' to share an equitable burden that the Centre is sharing. We need a healthy airline industry."
Click here to see the original article>Chavan said, according to a report by The Hindu Business Line. "It is clear that the aviation industry is bleeding. Always, when they (airlines) come to us, they request us for lower ATF rates," he said. "The Centre has allowed them to import ATF directly, which means it has lost revenue in some way or the other," he said, adding that the State was also ready to bring down sales tax on the jet fuel. "I have not calculated how much impact will be there. In 2008, the Centre gave a huge stimulus package to re- vive the aviation industry. I think the State will also have' to share an equitable burden that the Centre is sharing. We need a healthy airline industry."