ACI Appeals Indian Government to Defer Aviation Taxes

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The Airport Council International (ACI) has appealed the government of India to defer the aviation specified taxes till December 31, 2020, to support the industry from operational losses and safeguard the interest of Airport’s business and working. The spread of the deadly Covid-19 has forced the government to declare 21 days lockdown to combat the virus. All the aviation operations have also been banned till April 14, 2020, except Cargo and Rescue planes. Angela Gittens, who is the director of ACI, addressed PM of India Narendra Modi and stated that the widespread of Coronavirus had troubled the aviation sector, especially the airport business.


Airports Contribute to the Economy and GDP Growth

As Per Gittens, Airports are one of the significant contributors in Economy and GDP growth. Talking about the Asia-Pacific Airport Industry, nearly 63 % job is provided to employees which offers a variety of services. Since the outbreak of Covid-19, the entire Airport businesses have been shut down, which is resulting in financial distress and the cash-crunch situation in the industry. The letter sent by ACI to PM Narendra Modi stated that Airports rely on revenue from charges of Airlines, passengers and commercial activities. Hence blanket discounts will put huge pressure on the aviation sector altogether.

The Loss of Airport and Airlines is Equal

As mentioned in the letter, every passenger lost by an Airline will be equal to a passenger lost by the Airport. To ensure that the aviation industry gets back in the same position, ACI has appealed the Indian government to provide relief measures to the entire Aviation industry by deferring the aviation taxes. ACI marked that the government must suspend regional, national and local taxes which are implemented in the aviation sector. All these steps by the government would act as an aid to bring the aviation industry and recover them from huge losses

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Shrijan takes joy in creating, listening and curating tasteful music. He's also an EDM connoisseur and fancies shows with good plotlines. Writing about flights and flying is one of his jams

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