Chief Minister Edappadi K. Palaniswami said here on Thursday that the State government has decided to reduce VAT on aviation turbine fuel (ATF) used in late night and early morning flights operating via the Coimbatore International Airport.
“The reduction will increase flight operations, both late night and early morning, via the Coimbatore airport. It will also boost flights to other cities from Coimbatore,” said Mr. Palaniswami to mediapersons after inaugurating the Tamil Nadu Police Museum in Coimbatore.
The concession is applicable for flights operating between 11 p.m. to 7 a.m.
AAI officials said earlier, VAT on the ATF was reduced from 29 % to 1% for flights operating via the Salem airport.
A long-standing demand
Vanitha Mohan, president of the Coimbatore chapter of the Indian Chamber of Commerce and Industry and convenor of Kongu Global Forum, said that trade bodies here had been demanding reduction in VAT for a very long time.
