The Confederation of Indian Industry (CII) on Friday urged the government to postpone collection of taxes, advance tax, scrapping of license fees, permit renewals, and excise exemption for liquor for the hospitality and travel industry that have been majorly hit by the outbreak of coronavirus. The industry has asked for 50% reduction in Heat-Light-Power (HLP) costs for sustaining businesses. For airlines industry, measures are suggested like to not levy cancellation fees and issuance of full refunds or credit notes, deferring the proposed tax collected at source on travel in the Finance Bill 2020, doubling overdraft facility for the industry and immediate cash relief to avoid mass-layoffs, and financial support under the Mahatma Gandhi National Rural Employment Guarantee Act or a similar scheme to be extended to the entire industry to prevent job losses. For aviation industry, it has suggested bringing aviation turbine fuel under the ambit of GST which would enable full input tax credit on all goods and services and provide long term relief to the airlines.
