Revamped GST structure provides major relief to aviation sector

After repeated complaints from industry that high taxation may result in a loss of Rs 6,000 cr

Friday’s changes in the goods and services tax (GST) structure included measures for the aviation sector, on its repeated complaints.

Among primary changes, inter-state movement of goods such as rigs, tools, spares and goods on wheel-like cranes have been defined as not constituting supply. This is a big relief, as such inter-state movement is frequent.

Airlines had said another concern was GST on transfer of aircraft spares, kept in central stores, between states on a daily basis. No input tax credit was available and “we demanded GST exemption on stock transfer for captive consumption” said a sector executive, which was