Supreme Court refuses to give Kingfisher more time to pay tax dues

08 Mar 2013

The Supreme Court today refused to grant Kingfisher Airlines an additional three weeks time that the cash-strapped airlines sought to pay around Rs400 crore in tax deducted at source (TDS) to the income tax department.

The apex court had, in January, granted the airline four weeks to clear all its TDS dues.

''It is a serious liability. You have deducted tax from employees but have not paid the income tax department," the court observed while dismissing the airline's petition.

The fresh setback comes amidst reports of an exodus of employees from the grounded Kingfisher Airlines.

About 500-550 employees have left the airline over the last four to five months, reports quoting sources close to the airline said.

Kingfisher Airlines had first moved the Supreme Court challenging the Karnataka High Court order directing it to pay over Rs350 crore in TDS.