New Delhi, Nov. 15 -- Airlines operating in Maharashtra will continue to get relief on jet fuel costs after the state government extended the reduced 7% value-added tax (VAT) on aviation turbine fuel (ATF) until April 14, 2027. The decision gives airlines another six months of lower fuel taxes, offering some breathing room at a time when rising fuel prices and longer flight routes are putting pressure on their finances.

The Maharashtra Finance Department announced the extension in a notification issued on November 12. The earlier concession was due to expire on November 14, 2026.

The reduced tax rate, first introduced in May this year, was brought down from 18% to 7% on duty-paid ATF. The latest decision keeps the existing rate unchange...