GST Council Exempts Service Imports for Foreign Airlines

The GST Council has decided to exempt the import of services by foreign airline establishments and address past periods as they currently stand. The council discussed the issue of tax notices sent to several foreign airlines for unpaid taxes amounting to Rs 10,000 crore.

The GST Council has taken a significant step by exempting the import of services by foreign airline establishments, thereby addressing pending tax issues.

Revenue Secretary Sanjay Malhotra confirmed that the council decided to regularize the past periods on an 'as is where is' basis.

Discussions also focused on tax notices issued to 10 foreign airlines, including British Airways, Lufthansa, and Emirates, by the GST Directorate General of Goods and Service Tax Intelligence (DGGI) for unpaid taxes totalling Rs 10,000 crore related to services imported by their Indian branches.

(With inputs from agencies.)