Flight fares on the down trend
Posted on: 16/Jun/2016 10:19:27 AM
The central cabinet Ministry has given approval to the revised Air transport policy.
With this new policy, there are prospects of the domestic flight fares coming down.There is a possibility of the fare for the flight of 1 hour to be fixed at Rs. 2500/-.
As per the new policy, FDI (Foreign Direct Investment) in domestic flights is increased by over 50 percent. Currently, it is 49 percent.
Under the scheme of linking the zones, the fare for an hour’s flight is fixed at Rs. 2500/-.
The services which are operating under this new scheme need not have to pay airport charges and service tax.
The service tax for the aircraft maintenance and the value Added Tax (VAT) have been cancelled.
