New Delhi: To save the aviation sector which has been hard-hit from the coronavirus outbreak, India is mulling the Rs 12, 000 crore rescue plan, a report by Reuters said. Also Read - Amid Coronavirus Lockdown, All Pending ITR up to Rs 5 Lakh to be Released Immediately: Finance Ministry
Notably, the aviation sector has been hit extremely hard due to Coronavirus pandemic as most airlines globally have drastically curtailed their flight operations. Also Read - Forceful Eviction of COVID-19 Treating Doctors: AIIMS Writes to HM Shah Against Landlords
The report states that the finance ministry is considering a proposal that includes the temporary suspension of most taxes levied on the sector, including a deferment of aviation fuel tax. Also Read - 'Stop Spreading Rumours and Educate Yourself': Airline Employee on Being Ostracised Over Coronavirus | WATCH
“Taxes could be deferred till the coronavirus spread is contained and the aviation sector can come back to its feet,” Reuters quoted a source as saying.
Earlier in the day, IndiGo’s flight operations chief Ashim Mitra wrote to pilots, asserting that tough decisions were on the cards.
The letter read, “Economic environment in aviation sector has deteriorated significantly and it has become necessary to initiate some tough decisions over the next few days and weeks”.
Mitra stated in his email, “Economic environment has deteriorated significantly and no airline is insulated from this severe downturn.”
“It has become a necessity to initiate some tough calls and we are working on a string of measures that will be shared and implemented over the next few days and weeks,” Mitra said.