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IATA Urges Tax Transparency to Support India's Aviation Ambitions

Willie Walsh warned at IATA’s New Delhi meeting that opaque levies could impede India’s rise as a global aviation hub.

Willie Walsh, director general of the International Air Transport Association in New Delhi. (Reuters)

Overview

  • Willie Walsh identified India’s complex tax regime as a long-standing obstacle to airline expansion during the IATA Annual General Meeting in New Delhi.
  • He proposed establishing a predictable, transparent levy structure rather than eliminating taxes to avoid recurring litigation over shifting rule interpretations.
  • IndiGo’s June commitment to 60 Airbus A350-900s underscores carriers’ growth plans as they prepare to launch services to ten new international destinations.
  • Walsh cautioned that misaligned incentives between airlines and airport operators have driven inefficient, overpriced infrastructure developments.
  • India’s civil aviation market is set to outpace China’s growth amid government plans for 350 airports by 2047 and a $4 billion MRO hub by 2030.