Deductible VAT
28/10/1983
Query
Whether expenses may be deducted by airlines in respect of accommodation provided to passengers because of flight conditions?
Decision
While accommodation expenses are non-deductible in the case of registered persons, their agents and employees, concessionally an exception may be made in the case of airlines accommodating passengers in hotels etc., because of flight conditions.
Value Added Tax
Section 12, Value Added Tax Act, 1972
Origin: Indirect Taxes Policy and Legislation
File ref:A/275