Odisha Government waives 5% VAT on Aviation Turbine Fuel
In a bid to woo the leading airliners to start international flight operations to and from Biju Patnaik International Airport in Bhubaneswar, the Odisha Government has waived the Value Added Tax (VAT) on Aviation Turbine Fuel (ATF).
The VAT on jet fuel or ATF was earlier 20%. The government had slashed it to 5% last year. After Air Asia started discussions with the state government and airport authorities earlier this week, the government moved further.
The development came on a day when Odisha Tourism & Culture Minister Ashok Panda met Union Petroleum & Natural Gas Minister Dharmendra Pradhan to press for the demand of international flight operations from Bhubaneswar ahead of Nabakalebara 2015 to be held later this month.