On the sidelines of the Civil Aviation Secretary R N Choubey meeting senior officials of the Finance Ministry to press the need to include air turbine fuel under GST, Minister of State for Civil Aviation Jayant Sinha on Wednesday said in the Rajya Sabha that "At present, there is no proposal to include ATF under GST".

Earlier, Civil Aviation Minister Suresh Prabhu told PTI that the move if implemented will help the industry cut cost substantially as air carriers will be able to claim input tax credit.
Air or aviation turbine fuel comprises 35-40% of the operational cost of an Indian air carrier.

Also, minister of State for Civil Aviation Jayant Sinha said in a written reply that no analysis so far has been done in respect of the consequence of higher jet fuel prices on the airlines in India.

Since long, Indian air carriers have been constantly demanding inclusion of ATF under GST and put forth that the measure will bring them a relief amounting to as much as Rs. 3000 crore to Rs. 5000 crore on an annual basis.

With PTI Inputs