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New Delhi, India: The GST Council on September 3, 2025, announced a revised two-tier GST structure, set to come into effect from September 22, 2025, impacting air travel and luxury services. Under the new system, most goods and services will attract either 5% or 18% GST, while select luxury and “sin” items will be taxed at 40%. For air travel, the changes are as follows: Economy class tickets: Continue at 5% GST, unchanged from previous rates. Premium economy, business, and first-class tickets: Previously taxed at 12% GST, these fares will now attract 18% GST, increasing the cost for premium travelers. For example, a business class ticket booked on September 4, 2025, for travel on September 24, 2025, will attract the old 12% GST, while the same ticket booked on or after September 23, 2025, will incur the new 18% GST. The Finance Ministry clarified under Section 14(a)(i) of the CGST Act, 2017, that GST liability is determined by the time of supply: If goods or services are supplied before the rate change but invoiced afterward, GST depends on the time of supply. Payment after the rate change: time of supply is the earlier of the invoice date or payment receipt date. Payment before the rate change: time of supply is the payment receipt date. The GST on private jets, helicopters, yachts, and pleasure vessels has increased from an effective 31% (28% GST + 3% cess) to a flat 40% GST, eliminating the cess and raising costs for high-end travelers and operators. According to PTI, The International Air Transport Association (IATA) expressed disappointment over the increase in GST on non-economy travel. “Aviation has significant potential to boost India’s economy, both through airline growth and improved connectivity. It is therefore disappointing to increase GST on non-economy travel without clear justification,” said Sheldon Hee, IATA’s Asia Pacific regional vice-president. He added that the tax on premium travel has more than doubled since 2017 and warned that such increases could dampen demand and affect airline profitability, especially since premium travelers often determine a route’s viability. Airlines are expected to pass on the higher GST to passengers, making premium tickets more expensive. Meanwhile, economy travelers benefit from stable fares, with GST unchanged at 5%. The revised structure aims to simplify taxation while ensuring that revenue from luxury and non-essential services contributes to public finances.

IATA Criticises GST Hike on Premium Flights, Warns of Impact on Airline Viability

Aviation Today News Desk September 8, 2025

New Delhi, India: The GST Council on September 3, 2025, announced a revised two-tier GST structure, set to come into effect

Montreal, Canada: The International Air Transport Association (IATA), representing approximately 350 airlines worldwide, including major Indian carriers like Air India, IndiGo, and SpiceJet, has proposed increasing the mandatory retirement age for commercial pilots operating multi-pilot flights from 65 to 67 years. This recommendation has been submitted to the International Civil Aviation Organization (ICAO) ahead of its 42nd Assembly in September 2025. IATA's proposal comes in response to the escalating global demand for air travel, which has outpaced the supply of qualified pilots. The aviation industry has experienced significant growth, leading to a shortage of available pilots. In response, IATA suggests that raising the upper age limit for pilots would help mitigate this issue. IATA emphasizes that increasing the retirement age to 67 is a "cautious but reasonable step consistent with safety." The organization highlights that in countries like Canada, Australia, and New Zealand, there are no upper age limits for pilots, including those undertaking commercial air transport operations. The proposal also aligns with ICAO's initiatives to develop more integrated systems of medical assessment. IATA advocates for standardized medical risk assessment and oversight systems, informed by a consistent set of pilot medical data, to reliably assess the medical risks associated with pilot age. This approach aims to ensure the safe implementation of changes to pilot age limits. In addition, IATA noted that raising Commercial Air Transport (CAT) pilot age limits to allow more pilots to continue working aligns with 15 of the 17 United Nations Sustainable Development Goals (SDGs). This includes the Next Generation of Aviation Professionals (NGAP) Programme, which aims to ensure a sufficient supply of qualified aviation professionals for the future whether by recruiting older candidates or retaining existing pilots.

IATA Proposes Raising Pilot Retirement Age to 67 to Address Global Pilot Shortage

Aviation Today News Desk September 3, 2025

Montreal, Canada: The International Air Transport Association (IATA), representing approximately 350 airlines worldwide, including major Indian carriers like Air India, IndiGo,

Bangkok, Thailand: The Civil Aviation Authority of Thailand (CAAT) has suspended Nok Air’s international flight operations and barred the airline from expanding its route network, citing non-compliance with safety regulations. Nok Air has been without international service since the 2024–2025 winter season. Earlier this year, the airline had submitted an advance winter timetable planning to recommence daily flights to Nanning, Nanjing, and Zhengzhou in China, as well as Hyderabad in India, starting 27 October 2025, extending through the winter schedule. However, this plan was derailed by a CAAT decision on 28 August 2025. The agency cited a troubling series of safety incidents including engine shut-downs mid-air, hard landings, and runway excursions occurring between 2023 and 2025. Reports from outlets such as The Nation and Bangkok Post indicate CAAT is also concerned by a wave of staff resignations including pilots, instructors, and safety inspectors that may threaten the airline’s safety oversight and institutional experience. This intervention comes just ahead of an ICAO audit of Thailand's aviation safety framework, scheduled from 27 August to 8 September 2025. The CAAT's move is viewed as aimed at enforcing compliance with international standards. Meanwhile, Nok Air’s CEO has stated that the airline had already voluntarily ceased international services in June 2025 during the low travel season, and emphasized that domestic operations continue unchanged under CAAT supervision. The CAAT suspension remains in effect until Nok Air can demonstrate corrective safety measures; reports say the authority has allowed just one week for the airline to submit remedial plans.

CAAT Grounds Nok Air’s International Flights for Safety, Domestic Services Continue

Aviation Today News Desk September 2, 2025

Bangkok, Thailand: The Civil Aviation Authority of Thailand (CAAT) has suspended Nok Air’s international flight operations and barred the airline from

Warsaw, Poland: LOT Polish Airlines has reported its most successful month in its 96-year history, setting new records in passenger numbers, flight operations, and distance covered in July 2025. The airline transported 1,185,946 passengers, surpassing the previous July 2023 record by over 144,000 travelers. Additionally, LOT operated 11,072 flights, averaging more than 350 per day, and covered a total distance of 15.5 million kilometers, equivalent to approximately 400 trips around the world along the equator or 20 journeys to the moon and back. In July 2025, LOT's aircraft accumulated 25,623 block hours, nearly 1,000 hours more than the previous high in July 2019. This significant increase underscores the airline's capacity to meet rising demand and maintain operational efficiency. European routes to Vilnius, London, and Amsterdam were among the most frequented, reflecting strong demand for both business and leisure travel within Europe. On the long-haul front, flights to Toronto, New York (JFK), and Chicago attracted the highest passenger volumes, indicating a robust appetite for direct connections between Europe and North America. LOT's growth is attributed to its expanding network and strategic route additions. In 2025, the airline launched new services from Kraków to Paris Orly and from Warsaw to Thessaloniki, Malta, Reykjavik, and Lisbon. Further expansion is planned with upcoming routes to Marrakesh and Rovaniemi in the autumn, alongside additional destinations to be announced by the end of the year. Supporting its growth, LOT is enhancing its fleet with the introduction of new aircraft. At the end of 2025, the first of 13 Boeing 737 MAX 8 aircraft ordered by the airline is expected to arrive in Warsaw from the Boeing factory in Seattle. These new planes, along with previously ordered Airbus A220 aircraft, will play a key role in delivering the airline’s 2024–2028 strategic plan, enabling continued network growth and enhanced service for passengers across both European and long-haul routes. LOT's hub at Warsaw Chopin Airport has been instrumental in its success, with nearly 60% of passengers now traveling as transit passengers.

LOT Polish Airlines Sets Passenger Record in 96 Years with Over 1.18M in July 2025

Aviation Today News Desk August 28, 2025

Warsaw, Poland: LOT Polish Airlines has reported its most successful month in its 96-year history, setting new records in passenger numbers,

Hyderabad, India: An Alliance Air flight bound from Hyderabad to Tirupati was cancelled on Sunday following two successive technical faults, according to official statements from the airline and corroborating media sources. The aircraft departed from Rajiv Gandhi International Airport, Shamshabad, heading toward Tirupati. Shortly after takeoff, it encountered a technical anomaly and was immediately redirected back to the bay for mandatory engineering checks halting its journey before it even got underway. After the initial fault was addressed and the aircraft deemed safe to proceed, the plane developed a second technical issue. This recurrence proved more complex, delaying repairs and ultimately rendering continued operation of this sector impractical. Alliance Air opted to cancel the flight in the interest of maintaining operational integrity and minimizing downstream disruptions. “The aircraft again developed another snag for which rectification took a little longer than expected. Due to this, and in order to avoid further disruption of flights, this sector had to be cancelled,” the airline stated. The decision aligns with standard industry protocol during technical setbacks placing passenger safety above schedule adherence. Alliance Air’s fleet includes 18 ATR 72-600s, 2 ATR 42-600s, and a HAL Do-228 aircraft, which serve regional routes such as Hyderabad–Tirupati. This incident follows a similar episode earlier in the week. On August 20, another Alliance Air flight from Guwahati to Kolkata made an unscheduled emergency landing due to a technical fault, though all passengers were safely deboarded.

Alliance Air Hyderabad-Tirupati Flight Cancelled After Back-To-Back Technical Issues

Aviation Today News Desk August 26, 2025

Hyderabad, India: An Alliance Air flight bound from Hyderabad to Tirupati was cancelled on Sunday following two successive technical faults, according

Mumbai, India: An Air India flight from Mumbai to Jodhpur was forced to abort its take-off on Friday after the cockpit crew detected an operational issue during the departure roll. The aircraft, operating as Flight AI645, was returned safely to the bay, according to the airline. Air India said in a statement that the pilots acted in line with standard operating procedures (SOPs) and discontinued the take-off as a precautionary measure. Passengers were deplaned and provided with alternative travel arrangements to reach their destination. Ground staff assisted passengers during the delay to minimize inconvenience. A passenger told PTI, cited by Hindustan Times, that the aircraft came to a halt suddenly after rolling for take-off, which created concern among those onboard. The passenger suggested that an engine-related problem might have caused the stoppage, though the airline has described it more broadly as an “operational issue.” The incident follows another disruption earlier in the week when Air India’s Zurich–Delhi flight (AI152) was cancelled on August 17 after a technical snag. Zurich Airport’s strict night curfew compounded the cancellation, forcing the airline to arrange hotel accommodation and offer either rescheduling or refunds for stranded passengers. Since its privatization in January 2022, Air India has stepped up inspections of its aircraft fleet. While these checks have not revealed systemic faults, they have occasionally led to flight delays and cancellations. The airline maintains that these measures are aimed at strengthening operational reliability and ensuring passenger safety, even if they result in temporary disruptions.

Air India Flight to Jodhpur Aborts Take-Off at Mumbai Airport Over Operational Issue

Aviation Today News Desk August 23, 2025

Mumbai, India: An Air India flight from Mumbai to Jodhpur was forced to abort its take-off on Friday after the cockpit

New York, United States: Delta Air Lines and United Airlines are facing major class-action lawsuits from passengers who claim they were misled into paying extra for “window” seats that did not actually have windows. The lawsuits have been filed in federal courts in Brooklyn, New York, and San Francisco, California, and seek millions of dollars in damages on behalf of over one million affected passengers at each airline. The cases have drawn attention to airline seat configurations and transparency in booking practices, raising questions about industry standards. The complaints center on certain seating arrangements on Boeing 737, Boeing 757, and Airbus A321 aircraft. In these planes, seats marketed as “window” seats are sometimes placed next to solid walls instead of actual windows due to the presence of air-conditioning ducts, electrical conduits, or other internal structural components. Passengers argue that neither Delta nor United disclosed the absence of windows at the time of booking, a practice that contrasts with airlines like Alaska Airlines and American Airlines, which reportedly provide clear warnings about windowless seats to their customers. The plaintiffs in these lawsuits assert that they specifically paid a premium for window seats to enjoy scenic views, reduce travel anxiety, or keep children entertained during flights. They argue that if they had known these seats lacked actual windows, they would not have selected them or paid extra for them. The lawsuits claim that both airlines engaged in deceptive and misleading practices, and that affected passengers are entitled to refunds, compensation, and potentially punitive damages.

Passengers Seek Refunds as Delta, United Face Lawsuits Over Misleading Window Seats

Aviation Today News Desk August 22, 2025

New York, United States: Delta Air Lines and United Airlines are facing major class-action lawsuits from passengers who claim they were

Mumbai, India: In a vivid demonstration of pilot proficiency under duress, an Air India aircraft executed a notably smooth and controlled landing at Chhatrapati Shivaji Maharaj International Airport amid relentless downpour and fierce wind gusts. A passenger aboard the flight captured the descent on video, and the footage quickly garnered widespread acclaim across social media. The clip shows the airplane’s wing cutting through turbulent skies with minimal shakiness before gliding toward the runway. Despite heavy rainfall and low visibility, the landing was executed with stability and precision. The video was shared with the caption: “Mumbai airport landing in midst of heavy rains. Hats off to Captain Neeraj Sethi for landing safely with less visibility.” Reactions online highlighted the respect earned by the pilot’s composure. Many hailed him as a “true hero of the skies,” while others expressed admiration for his calm execution in adverse conditions. One commenter remarked that landings of this kind are often conducted under autopilot, with pilots ensuring parameters remain safe and avoiding human errors close to the runway. The incident coincided with an exceptionally severe spell of rain in Mumbai. The India Meteorological Department (IMD) issued a red alert for the city, warning of extremely heavy rainfall. Local reports described widespread flooding that disrupted traffic and daily life across the metropolitan area. The safe landing stands in sharp contrast to an incident last month, when an Air India Airbus A320 from Kochi skidded off Mumbai’s primary runway during heavy rain on July 21, 2025, bursting three tires and damaging runway infrastructure. Fortunately, no one was injured, but the aircraft required towing and a DGCA investigation was launched.

Air India Pilot’s Skillful Landing in Mumbai Rains Earns Widespread Applause

Aviation Today News Desk August 20, 2025

Mumbai, India: In a vivid demonstration of pilot proficiency under duress, an Air India aircraft executed a notably smooth and controlled

New Delhi, India: India’s aviation sector has faced a turbulent start to the year with more than 5,700 flights cancelled in the first six months, largely due to geopolitical tensions and regulatory complications. Data presented by the Ministry of Civil Aviation in the Rajya Sabha showed that between January and June 2025, Indian carriers scheduled 572,079 departures, of which 5,706 were cancelled, accounting for nearly one percent of total flights. Officials said the primary reasons included a brief four-day military conflict with Pakistan in May that forced suspension of civilian operations at several northern airports sharing infrastructure with the armed forces, the ongoing closure of Pakistani airspace for Indian carriers that has disrupted westbound routes to Europe and the Middle East, and wider instability linked to the conflict between Iran and Israel which has further complicated international operations. The cancellations were unevenly distributed across airlines, with IndiGo bearing the heaviest burden, reporting 3,274 cancellations that made up almost 57 percent of the total. The Air India Group, which includes Air India Express, cancelled 1,468 flights, representing about 26 percent of the total. SpiceJet cancelled 401, while Akasa Air saw the lowest disruption with 64 cancellations. According to the ministry, the cancellations not only grounded aircraft but also imposed significant costs on airlines, from increased fuel bills on rerouted flights and extended crew duty hours to additional airport fees, aircraft maintenance delays and rebooking expenses for affected passengers. Under the Directorate General of Civil Aviation’s compensation framework, airlines were required to either refund fares or provide alternate travel arrangements to customers whose flights were disrupted. Despite the disruptions, India’s domestic air travel market continued to expand, with passenger numbers growing by 7.34 percent in the first half of the year compared to the same period in 2024. Analysts said the figures underline the resilience of India’s aviation market, though the financial strain on airlines remains considerable. Air India, in particular, has faced additional operational pressure, cutting about 15 percent of its international long-haul flights and grounding several Boeing Dreamliners for inspections after a recent crash, while also suspending services over Middle Eastern airspace amid escalating regional conflict. Industry observers note that airlines are preparing to recalibrate their schedules in the coming winter season, with some long-haul routes expected to be restored, including Air India’s planned Goa–London Gatwick service. The Ministry of Civil Aviation has said it is working closely with airlines to address regulatory issues, but the cancellations highlight how external shocks beyond the industry’s control continue to ripple through one of the world’s fastest-growing aviation markets. While the 5,706 cancellations amount to just one percent of total scheduled departures, the episode has exposed operational vulnerabilities and reaffirmed that India’s carriers remain at the mercy of geopolitical currents, regulatory bottlenecks, and unpredictable regional conflicts.

India’s Aviation Sector Hit as Airlines Cancel 5,700 Flights in First Half of 2025

Aviation Today News Desk August 19, 2025

New Delhi, India: India’s aviation sector has faced a turbulent start to the year with more than 5,700 flights cancelled in

Sydney, Australia: Australia’s domestic aviation sector is struggling to match seat supply with surging passenger demand, with the Australian Competition and Consumer Commission (ACCC) warning that capacity remains below pre-pandemic levels despite a full recovery in travel volumes. According to the ACCC’s Domestic Airline Competition in Australia report released in August 2025, seat capacity in June was 2.8% lower than in June 2019, even though passenger numbers had fully recovered and, in some cases, exceeded pre-COVID benchmarks. In May 2025, Australian carriers transported 5.20 million domestic passengers, up 1.6% compared with May 2019. The mismatch between supply and demand is evident in the load factor, the proportion of available seats actually sold which rose to 80.7% in June 2025 from pre-pandemic averages of about 78%. The ACCC noted that the capacity shortfall has kept airfares elevated. Although jet fuel prices dropped by 12.3% year-on-year, average fares in June 2025 were still higher than the same month last year. The regulator attributed this to limited seating availability, which has reduced the scope for last-minute fare discounts, particularly on peak routes. “The lack of significant competition and constrained supply means consumers are seeing fewer low-fare options,” the ACCC said in its report. The sector has shown notable improvements in operational reliability. April 2025 recorded an on-time arrival rate of 82.4%, the highest in three years and above the long-term average of 80.7%. Cancellations have also remained low, averaging under 2.2% in April and May, with a slight uptick to 2.4% in June. Jetstar and Virgin Australia achieved the best punctuality and cancellation performance, while Qantas reported comparatively higher cancellation rates. The capacity lag stems from a combination of structural and market factors. The collapse of Tigerair in 2020 removed a substantial share of low-cost capacity from the market. New entrants such as Bonza have struggled to establish sustainable operations, and Rex’s expansion on trunk routes has been limited. Global supply chain disruptions and manufacturing delays have also constrained fleet expansion. Aircraft delivery backlogs, driven by production issues at major manufacturers, have delayed capacity growth plans for both Qantas and Virgin Australia. Qantas Group is in the process of receiving additional aircraft, including narrowbody jets redeployed from Jetstar Asia. Virgin Australia expects delivery of six Boeing 737 MAX 8 aircraft by December 2025. However, much of the incoming fleet will replace older planes rather than significantly expand seating capacity. Industry analysts note that upcoming infrastructure developments could provide relief. Slot reforms at congested airports and the opening of Western Sydney International (Nancy-Bird Walton) Airport in 2026 are expected to improve access for both existing and new operators. The ACCC has repeatedly expressed concern over the high level of market concentration, with Qantas Group and Virgin Australia controlling more than 98% of the domestic market (The Australian, Aug. 12, 2025). The regulator has urged measures to encourage competition, warning that the duopoly limits consumer choice and pricing flexibility. While passenger demand has fully recovered from pandemic lows, Australia’s domestic aviation market continues to operate with constrained capacity. The ACCC expects gradual improvement as airlines take delivery of new aircraft and as infrastructure projects come online, but warns that pricing pressure may persist in the near term.

Australia’s Aviation Market Faces Tight Capacity, but Not Enough Seats, ACCC Reports

Aviation Today News Desk August 14, 2025

Sydney, Australia: Australia’s domestic aviation sector is struggling to match seat supply with surging passenger demand, with the Australian Competition and

Airlines

IATA Criticises GST Hike on Premium Flights, Warns of Impact on Airline Viability

IATA Proposes Raising Pilot Retirement Age to 67 to Address Global Pilot Shortage

CAAT Grounds Nok Air’s International Flights for Safety, Domestic Services Continue

LOT Polish Airlines Sets Passenger Record in 96 Years with Over 1.18M in July 2025

Alliance Air Hyderabad-Tirupati Flight Cancelled After Back-To-Back Technical Issues

Air India Flight to Jodhpur Aborts Take-Off at Mumbai Airport Over Operational Issue

Passengers Seek Refunds as Delta, United Face Lawsuits Over Misleading Window Seats

India’s Aviation Sector Hit as Airlines Cancel 5,700 Flights in First Half of 2025

Australia’s Aviation Market Faces Tight Capacity, but Not Enough Seats, ACCC Reports

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