The heavy taxation and the mounting airfares in domestic sector are getting their too on the inbound and the movement of domestic tourists and weaning far the domestic travelers to cheaper the international tourist destinations.
Setback to tourism industry during peak domestic tourism season mainly owes to hike in service tax of the central government from the 10 to 12 percent
. As a result of hike which came into the effect on the 1st April, India Holiday Packages have become the out of the tourisms’ reach.
A tourist can select many tourist opportunities on India Tour Packages. A tourist who selects for a tour package of RS 10,000 has to the shelve out Rs.2,180 extra as the taxes, making destination the expensive compared to the Malaysia, Thailand and much more other international countries or tourists destination.
Of the 21.79 percent taxes the being levied, 6.2 percent is service tad levied by central government for room, 12.5 percent is luxury tax levied by State government and 3.09 percent service tax on the India Tour Packages, which is collected by central government through tour operator.
Sources of the hospitality industry said service tax the rooms was introduced by central government before two years, and it had been risen to the 6.2 percent in Central budget although industry of tourism was demanding its withdrawal for benefit of tourism and promoting sector. Service tax on the India Tour Packages and tour packages had too been raised from the 2.58 percent to the 3.09 percent from this fiscal.
Several India Tour Packages are available such as Desert Tour Packages, Himachal or Hill Tour Package, Kasmir Tour Packages, Kerala Tour Package, Rajasthan Tour Package, Goa Tour Package, Triangle Tour Package and many more. India is a whole country that offers many tourism opportunities and many beautiful and amazing places for tourists. India Holiday Packages are offering by the many tour operators.
Traveling to the international tourist places has become the cheaper. An airline is providing flight tickets to the Thailand in Rs 5,000 from the South India while one require more than double amount to the come down from Kerala to Mumbai. According to the Indian tourism department, during the last 12 months, above 9 lakhs Indian tourist visited the Thailand.
The instead of the encouraging domestic and the inbound tourism, central government was promoting the outbound tourism, sources said. Country was losing the foreign the exchange on the account of this, they added.