9.1 Full exemption from import duty (basic, CVD and special CVD) was hitherto available to import of aircraft by non-scheduled operators whether for passenger services or chartered services. This exemption was subjected to certain conditions including the condition that the aircraft should be used exclusively for charter or passenger services. The exemption from basic customs duty has been withdrawn on such imports and a basic duty of 2.5% has been imposed. The exemptions from CVD and special CVD have been retained. The conditions of the exemption have also been amended so as to allow the aircraft to be used interchangeably between passenger and charter services in consonance with the Civil Aviation Requirements.  

9.2 Exemption from education cess and secondary and higher education cess presently available to aircrafts is being withdrawn.

Customs duty on aircraft: basic customs duty imposed while CVDs retained and education cesses exemption withdrawn. Budget changes withdraw the exemption from basic customs duty on aircraft imported by non-scheduled operators and impose a basic duty while retaining exemptions from countervailing duty and special countervailing duty; usage rules are amended to allow interchangeability between passenger and charter services under Civil Aviation Requirements. The exemption from education cess and secondary and higher education cess on such aircraft imports is withdrawn, making those cesses applicable.