Tour operators’ body urges govt to end cascading impact of multiple taxes
January 11, 2021
Wants govt to treat tourism sector on par with IT industry
The Indian Association of Tour Operators (IATO) has urged the Centre to take measures to solve the challenges of multiple taxation faced by tour operators.
It demanded to either lower the GST charged from tour operators or allow input tax credit and end the cascading impact of multiple taxes.
“The tour operators suffer from multiple taxation at different levels as they offer multitude of services ….for which they have to pay GST at about 18-23 per cent. Further, on their total billing, they pay GST at the rate 5 per cent (without input tax credit). This compares unfavourably with neighbouring countries where GST rates of about 6-8 per cent are charged from tour operators,” IATO said in a statement.