Uniform tax for all aircraft, aircraft engine parts

Current Context : Government has implemented a uniform 5% tax on all imports of aircraft components and engine parts.

Objective : to streamline tax rates for items like aircraft parts, testing equipment, tools, and tool-kits.

• The tax rate which earlier varied between 5% and 28%.
• Recommended by India’s Goods and Services Tax (GST) Council.

ABOUT GST COUNCIL

• GST Council is responsible for making recommendations to the Union and the states on important GST-related issues.
• It was inroduced by 101st Amendment Act of 2016 under Article 279A of the Indian constitution.