GST on airport levies: airlines may collect PSF/UDF as pure agents while airport operators remain liable to pay GST. PSF and UDF charged by airport operators are consideration for services to passengers and are taxable under GST; airlines that collect these charges act as agents and, if they satisfy Rule 33's pure agent conditions, must separately indicate the actual PSF/UDF and GST in invoices and exclude those amounts from their taxable value. Airlines may not claim ITC on GST paid on PSF/UDF. Airport operators remain liable to pay GST on PSF and UDF collected, and collection charges paid to airlines are taxable as consideration for airline services.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
GST on airport levies: airlines may collect PSF/UDF as pure agents while airport operators remain liable to pay GST.
PSF and UDF charged by airport operators are consideration for services to passengers and are taxable under GST; airlines that collect these charges act as agents and, if they satisfy Rule 33's pure agent conditions, must separately indicate the actual PSF/UDF and GST in invoices and exclude those amounts from their taxable value. Airlines may not claim ITC on GST paid on PSF/UDF. Airport operators remain liable to pay GST on PSF and UDF collected, and collection charges paid to airlines are taxable as consideration for airline services.
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