Kingfisher aircraft impounded over non-payment of service tax
"We have seized one ATR aircraft of the Kingfisher Airlines as the carrier has failed to clear our dues," Mumbai Service Tax Commissioner S K Solanki told PTI. The beleaguered airline owes around Rs 190 crore to the Service Tax Department, of which Rs 127 crore are under litigation.
The Vijay Mallya-owned carrier today said it has received a notice from the service tax department to which it has already responded.
"Since the aircraft is taken by Kingfisher purely on operating lease basis and the airline is only a lessee of the aircraft (not the owner), it does not feature as an asset in the books of accounts of Kingfisher," the Airline said.
Kingfisher has been grounded since October 1 following a strike by its pilots and engineers over non-payment of salary dues and its flying license has been suspended.
The cash-strapped airline is also facing eviction from Mumbai airport for Rs 22 crore dues towards parking and navigational charges.