Foreign Airlines Exempt from GST on Services to Branch Offices, New Rules Effective from October 10

Foreign Airlines Exempt from GST on Services to Branch Offices, New Rules Effective from October 10

By Nishang Narayan

Published on October 13, 2024

Foreign airlines operating in India will no longer be liable to pay Goods and Services Tax (GST) on services provided by their head offices to branch offices in the country, as per a government notification issued by the Central Board of Indirect Taxes & Customs (CBIC). This decision, part of the recommendations made at the 54th GST Council meeting, will take effect starting October 10.

The exemption is subject to the condition that foreign airlines secure a certificate from the civil aviation ministry, confirming that their operations in India fall under the scope of a bilateral air services agreement. This move is expected to ease the tax burden on foreign airlines and streamline operations.

In addition to this, academic institutions that have received grants for research purposes will also be exempt from GST, further promoting research and development activities across the country.

The CBIC has rolled out several new GST-related updates, including measures aimed at reducing penalties for taxpayers. Individuals or businesses that comply by March 31, 2025, will be eligible for waivers on penalties and interest. This is particularly applicable to taxpayers facing demand orders under section 74(1) of the GST Act, as long as they have not filed an appeal.

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The GST Council has also introduced a special rectification window for taxpayers to amend past input tax credit (ITC) discrepancies. This opportunity is designed to help taxpayers correct genuine mistakes made in the past, potentially resolving many pending litigations and reducing the burden on both taxpayers and the government.

Additionally, the Travel Agents Association of India (TAAI) has raised concerns over the excessive GST charges on air ticket cancellations and modifications. The association revealed that GST was incorrectly charged at 18% instead of the appropriate rates of 5% for economy class and 12% for business class, leading to an over-collection of taxes. They have urged airlines and relevant ministries to refund the excess GST that was wrongly collected.

Experts believe that the latest measures are a step towards encouraging voluntary compliance while resolving disputes outside the court system. By offering taxpayers a chance to correct their errors and reduce penalties, the government aims to streamline tax compliance and promote a more efficient system.

This series of notifications, especially the rectification of ITC mistakes, is expected to significantly reduce taxpayer grievances and litigation, creating a more taxpayer-friendly environment moving forward.


Air India and Standard Chartered Partner to Offer Travel and Wealth Benefits to Global Indians

Air India and Standard Chartered Partner to Offer Travel and Wealth Benefits to Global Indians

By Hariharan U

Published on October 23, 2026

Air India and Standard Chartered have announced a partnership combining premium airline loyalty benefits with international banking and wealth management services for affluent Global Indian clients in Singapore and the United Arab Emirates (UAE). The proposition is expected to become available in the coming weeks.

The collaboration brings together Air India's Maharaja Club loyalty programme and Standard Chartered's cross-border financial capabilities, targeting customers whose travel, business and financial interests span multiple countries.

Maharaja Club Status and Travel Privileges

Under the partnership, eligible affluent Global Indian clients of Standard Chartered in Singapore and the UAE will be offered Maharaja Club Gold or Silver status, providing access to a range of airline loyalty benefits.

Depending on their membership tier, customers can receive additional baggage allowance, priority check-in and boarding, airport lounge access, upgrade vouchers and bonus Maharaja Points.

Gold membership also provides Star Alliance Gold status, extending travel privileges across the Star Alliance network of 25 other member airlines in addition to Air India. Benefits include access to more than 1,000 airport lounges worldwide, priority airport services and additional baggage benefits, subject to applicable programme conditions.

The offering is designed to give eligible banking customers access to premium travel privileges while strengthening their engagement with Air India's loyalty ecosystem.

Cross-Border Banking and Wealth Management

Beyond travel, the partnership will offer eligible Air India customers who bank with Standard Chartered in Singapore or the UAE access to financial and relationship management services.

These include dedicated relationship management support, market outlook insights from the bank's Chief Investment Office, invitations to exclusive thought leadership events and tailored wealth solutions designed to address cross-border financial requirements.

The proposition reflects the needs of Global Indians who may manage investments, businesses and personal financial commitments across multiple markets. By combining travel privileges with wealth management support, the partnership seeks to offer a broader proposition beyond conventional airline loyalty benefits.

Rajesh Kannan, Head, Wealth and Retail Banking, UAE & Jersey, and Head, Global Indian Clients, Standard Chartered, said the collaboration brings together two established brands to serve customers whose lives and ambitions increasingly span borders. He highlighted the combination of Air India's international network and the bank's wealth management expertise as central to the proposition.

Nipun Aggarwal, Chief Commercial Officer, Air India, said the partnership would help extend Maharaja Club across key international markets, offering eligible customers premium status, enhanced travel benefits and global recognition while supporting their increasingly international lifestyles.

Maharaja Club's Expanding Loyalty Ecosystem

Air India redesigned Maharaja Club in 2024 with a simplified structure, revised membership tiers and an updated identity. Since then, the programme has added millions of members, according to the airline.

Members can earn and redeem Maharaja Points on eligible flights operated by Air India and Air India Express across 104 destinations, as well as on flights operated by other Star Alliance member airlines.

The programme also has partnerships with more than 100 brands across hospitality, retail, lifestyle and financial services, allowing members to earn Maharaja Points through a wider range of travel and everyday spending.

The Standard Chartered partnership adds another financial services relationship to this broader ecosystem, linking airline loyalty with international banking and wealth management.

As airlines increasingly look beyond flight-based rewards to deepen customer relationships, the collaboration highlights an approach that connects travel privileges with the wider financial and lifestyle needs of internationally mobile customers


SWITCH Mobility and PURPLE BUS Launch Electric Nagpur–Chandrapur Service

SWITCH Mobility and PURPLE BUS Launch Electric Nagpur–Chandrapur Service

By Manu Vardhan Kannan

Published on October 23, 2026

SWITCH Mobility Ltd, part of the Hinduja Group, and intercity mobility operator PURPLE BUS have launched an electric bus service on the Nagpur–Chandrapur route, bringing electric intercity travel to the Vidarbha region. The launch was marked by the flag-off of the first six buses from an order of 50 SWITCH EiV12m intercity electric coaches for deployment in the region. The event took place in the presence of Union Minister for Road Transport and Highways Nitin Gadkari.

The launch coincided with Dussehra, a festival associated with new beginnings. The new service aims to improve connectivity between Nagpur and Chandrapur by offering commuters a comfortable, reliable and more environment-friendly travel option.

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This marks the third intercity deployment between SWITCH Mobility and Prasanna Purple Mobility Solutions in 2026. The partnership previously introduced electric coaches on the Mumbai–Pune route in April and the Dombivli–Pune route in October. These deployments reflect the growing use of electric buses on busy intercity routes.

Speaking about the launch, Ganesh Mani, Chief Executive Officer of SWITCH Mobility, said, “Nagpur and Chandrapur share a close economic and cultural relationship, and strengthening this corridor with our partner Prasanna Purple Mobility Solutions is an important step in our mission to build future-ready public transport across India. Following our deployment on the Mumbai - Pune route earlier this year, we are glad to extend this partnership to Vidarbha and to contribute to the region’s growth by supporting the everyday movement of the people who depend on it. This launch reaffirms our commitment to sustainable, people-first mobility solutions in Maharashtra and beyond.”

Saurabh Patwadhan, Director of PURPLE BUS, said, “At PURPLE BUS, our goal is to make electric the default way people travel between cities, not the exception. We are building that future route by route, from Mumbai–Pune, one of India’s busiest corridors, to Nagpur–Chandrapur, where we now bring Vidarbha its first electric bus service. Our fleet has already covered more than one million kilometres (10 lakh km) in electric intercity operations, and the data shows what many operators doubted: electric coaches deliver a lower total cost of ownership and a lower cost per passenger-kilometre than diesel. Our partnership with SWITCH Mobility has been central to proving that, and it gives us the confidence to scale sustainable intercity mobility across Maharashtra.”

Strengthening Public Mobility in Vidarbha

The Nagpur–Chandrapur service adds to SWITCH Mobility’s expanding partnership with Prasanna Purple Mobility Solutions. By connecting two key centres in Vidarbha, the service is expected to support daily travel, improve regional connectivity and contribute to local economic activity while encouraging cleaner transport.

The SWITCH EiV12m intercity coach is designed for long-distance journeys, combining passenger comfort with operational efficiency. Each bus features 45 pushback seats, a range of up to 350 km per charge and fast-charging capability. It also comes with advanced safety systems, a quieter ride and SWITCH iON connected technology for real-time monitoring, supporting reliable operations and a comfortable travel experience.


Air India to Launch Non-Stop Delhi–Osaka Flights in February 2027

Air India to Launch Non-Stop Delhi–Osaka Flights in February 2027

By Manu Vardhan Kannan

Published on October 18, 2026

Air India has announced the launch of non-stop flights between Delhi and Osaka, Japan, from February 2, 2027, strengthening air connectivity between India and Japan. With this addition, Air India will become the only airline operating non-stop services on the Delhi–Osaka route.

The airline will operate four weekly flights between Delhi and Kansai International Airport in Osaka using its Boeing 787-8 aircraft. Osaka will become Air India's second destination in Japan after Tokyo Haneda, which is currently served by daily flights from Delhi and four weekly flights from Mumbai.

The Boeing 787-8 aircraft deployed on the route features 18 full-flat beds in Business Class and 241 seats in Economy Class, offering passengers a choice of travel options between the two countries.

A Convenient Schedule for Travellers

The new service has been planned to support convenient travel between the two destinations. Flight AI360 will depart Delhi at 10:50 PM and arrive in Osaka at 9:50 AM the following day. The return service, AI359, will depart Osaka at 11:50 AM and reach Delhi at 6:20 PM on the same day.

The schedule will also provide onward connectivity to destinations across Air India's domestic and international network.

The addition of Osaka will give travellers greater flexibility when planning multi-city itineraries. Passengers will be able to fly into Osaka and return from Tokyo, or travel in the opposite direction, making it easier to explore Japan's popular Golden Route, which includes Tokyo, Kyoto and Osaka.

Japan's Growing Appeal Among Indian Travellers

The new route comes amid growing interest in Japan among Indian travellers. According to the Japan National Tourism Organization, more than 315,000 Indian visitors travelled to Japan in 2025, marking a 35% increase over 2024 and nearly 80% growth compared with pre-pandemic levels.

Rising interest in Japan's cultural attractions, culinary experiences and leisure destinations, alongside strengthening business and people-to-people ties, continues to support travel demand between the two countries.

Air India's Delhi–Osaka service is expected to offer travellers another direct connection to Japan while supporting tourism and business travel. The flights are being progressively opened for bookings through Air India's official website, mobile app, customer contact centre, airport ticketing offices and travel agents worldwide.

Flight Schedule: Delhi–Osaka

Flight

Route

Departure

Arrival

Days of Operation

AI360

Delhi–Osaka

10:50 PM

9:50 AM (+1)

Tuesday, Thursday, Saturday, Sunday

AI359

Osaka–Delhi

11:50 AM

6:20 PM

Monday, Wednesday, Friday, Sunday

All timings are local. (+1) indicates arrival on the following calendar day. Services commence on February 2, 2027.

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