KFA aircraft seized by service tax dept

In a yet another blow to the beleaguered Kingfisher airlines, the Mumbai tax department has today seized one of its aircraft, a 62-seater ATR, for non-payment of service tax dues amounting to Rs. 63 crore. Besides, the airline has to pay around Rs.128 crore additional outstanding dues to the tax department. The Deputy Commissioner of Service Tax department had sent an order a few days ago to Kingfisher that the seven aircrafts of the airline in Mumbai will be impounded as the airline has defaulted on service tax dues.