Giovanni Bisignani, the director general of the International Air Transport Association's (IATA), is urging the Indian government to remove a service tax on air travel. He claims that the tax is unlawful and adds to the cost of flights for travellers but hopes that a meeting with the authorities will help to clarify the situation.
"The service tax on air tickets by the government is illegal. It is embarrassing for India which is a leading member of the International Civil Aviation Organisation and a signatory to Chicago convention," said Mr Bisignani.
The director general has already met planning commission deputy chairman Montek Singh Ahluwalia and tourism minister Kumari Selja to discuss the issue surrounding international flights to India and domestic services.
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