After a delay of several months due to lacking funds, SpiceJet (SG, Delhi International) has submitted all taxes deducted from its employees for the financial year 2021/22 to the country's Department of Revenue.
In an internal letter to employees leaked to local media, the airline's human resources department said SpiceJet had now submitted all Tax Deducted at Source (TDS) and paid up a significant portion of all Employees' Provident Fund (EPF) contributions.
The market reacted positively, with SpiceJet shares up by 9% on the Bombay Stock Exchange (BSE). It also followed reports that the budget carrier was likely to receive another loan of INR10 billion rupees (USD122 million) under the Indian government's modified Emergency Credit Line Guarantee Scheme (ECLGS).
"We are happy to share that TDS for FY2021-22 of all employees has been deposited by SpiceJet. It will take a few days to reflect in your tax credit statement," the email to employees read. "Significant portion of PF contribution of all employees is also being credited," it added.
In September, the loss-making carrier hiked the salaries of its captains and senior first officers by around 20% from October. Some 80% of its flight crew are currently on leave after the Directorate General of Civil Aviation (DGCA) on July 27 directed it to halve its operations until October 29 due to multiple incidents involving its aircraft.
SpiceJet posted a net loss of INR7.89 billion rupees (USD95.8 million) for the June 2022 quarter and INR4.58 billion (USD55.6 million) for the quarter ending March 2022.
