Kerala GST Authority rules airport management deal subject to GST, differing from other states' exemptions.

The Kerala GST Authority has ruled that the agreement between the Airports Authority of India (AAI) and Adani Thiruvananthapuram International Airport Ltd for airport management is subject to Goods and Services Tax (GST), as it is considered a supply of services, not a business transfer. This contrasts with rulings from Rajasthan and Gujarat that exempted similar deals from GST. The decision highlights the need for clearer national guidance on GST to ensure consistency. Adani plans a Rs 1,300 crore investment in the airport's expansion by 2027.

November 10, 2024
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