Goyal Urges Congress States to Cut VAT on Aviation Fuel

Union Commerce Minister Piyush Goyal has urged Congress-led states, including Kerala, Karnataka, and Telangana, to follow Maharashtra's example by reducing Value Added Tax (VAT) on aviation turbine fuel. This move, championed by Maharashtra's Chief Minister, aims to cut air freight costs, boost exports, and attract tourists. Goyal emphasized these initiatives as patriotic responses during economic crises.

Union Commerce Minister Piyush Goyal has called on Congress-led states, such as Kerala, Karnataka, and Telangana, to emulate Maharashtra's recent reduction in VAT on aviation turbine fuel from 18% to 7%. He urged these states to adopt similar measures, describing them as voluntary patriotic actions in response to economic crises.

During a press briefing at SEEPZ, Goyal commended Maharashtra Chief Minister Devendra Fadnavis for the VAT reduction initiative, which is expected to lower air freight costs, support exporters seeking new markets, and attract more tourists.

Addressing concerns about potential restrictions on the liberalized remittances scheme, Goyal clarified that Prime Minister Narendra Modi's austerity appeal is voluntary. He also discussed plans to consolidate the Commerce Ministry's offices in Mumbai, freeing up space for rent.