Vice Prime Minister, infrastructure minister Borys Kolesnikov predicts the abolition of VAT on aviation fuel and air tickets for flights within Ukraine from 2013.
According to Kolesnikov, abolition of VAT on tickets and aviation fuel could cheapen flights within Ukraine. However, Kolesnikov believes that the main reason for the high cost is the lack of competition in the domestic aviation market of Ukraine.
"There is no real competition. No one wants to fly within Ukraine," Kolesnikov told a briefing, after the Cabinet’s meeting, ForUm correspondent reports.
"The state will do everything that depends on it. President has instructed to abolish VAT on aviation fuel and selling tickets within the country. I think this will be done till a summer schedule, that is, starting from March 27," Kolesnikov said.
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