COIMBATORE : Tamil Nadu government in an order dated August 14, slashed the Value Added Tax (VAT) on aviation turbine fuel (ATF) from 29 percent to 1 percent for late night and early morning flights at a few airports in the State. The measure, which came into effect from midnight Wednesday, is applicable only at Coimbatore, Tiruchy and Madurai airports and for flights between 11 pm and 7 am that park at the airport for three hours.
Vice-chairperson of Kongu Global Forum Vanitha Mohan said that this would facilitate the operation of more flights from Coimbatore.“We met Civil Aviation officials and requested them to take steps to operate more flights from Coimbatore in early mornings to places like Chennai, Delhi and Hyderabad. They said Coimbatore would get more flights if the government reduced the VAT on ATF. We have been urging the State to do so for the last one and half years,” said Mohan.
“If a flight to Delhi was operated early in the morning from Coimbatore, it would be convenient for industrialists. Now that the VAT has ben reduced, we expect more flights will halt at the Coimbatore airport to refuel,” she added. Director of Coimbatore Airport R Mahalingam said, “We expect more flights will be operated to Bengaluru, Mumbai and Delhi at nights and early morning from Coimbatore airport.”
“A company that operates a flight from Coimbatore to Chennai at 5 am after a halt of five hours every day decided to continue the service only after the CM promised to reduce the VAT on ATF,” he added.