Qatar Airways Faces Tax Evasion Probe in India: Investigations Uncover Potential Irregularities

Qatar Airways is under scrutiny in India as part of a long-running investigation by Indian financial crime agencies into alleged tax evasion by Middle Eastern airlines. The Directorate General of GST Intelligence (DGGI), responsible for tackling tax evasion, conducted searches at Qatar Airways’ premises in October as part of a broader inquiry into potential irregularities in tax payments.

While the focus on Qatar Airways is described as being in the “very initial stage,” a DGGI spokesperson revealed that the agency had uncovered incidents of tax evasion totaling INR 57 billion rupees (USD 685.1 million). The alleged evasion involves over 6,000 instances of fake input tax credit claims recorded between April 2020 and September. It remains unclear whether these figures specifically pertain to Qatar Airways or include other carriers currently under investigation.

It is important to note that ch-aviation does not assert that Qatar Airways or any other carrier has evaded taxes in India; rather, the story highlights ongoing investigations and the allegations made against the airlines.

The investigation has attracted attention in India due to the deepening trade and investment ties between the two countries, with India relying on Qatar for liquified natural gas supplies. The geopolitical context is further underscored by the recent sentencing to death of eight former Indian Navy personnel in Qatar, adding complexity to the investigative process.

Qatar Airways operates flights to 13 destinations in India, with a substantial weekly capacity of 120 roundtrips and approximately 24,500 seats in either direction. Other Middle Eastern airlines serving India include Emirates, Etihad Airways, Air Arabia, Saudia, Air Arabia Abu Dhabi, Kuwait Airways, flynas, Jazeera Airways, flydubai, Iraqi Airways, and Fly Baghdad.

As the investigation unfolds, it will be essential to monitor developments and responses from both the Indian authorities and Qatar Airways. Stay tuned for updates on this evolving situation as it impacts the aviation landscape in the region.