"Tour operators have little to rejoice about budget outcome, said Subhash Goyal, President, Indian Association of Tour Operators. We had expected the budget to bring some relief to our mounting woes by reducing the service tax.
It is unfortunate that the government is systematically killing the goose that lays the golden egg. This taxation part has made India very cost prohibitive, he said.
Tourism sector is estimated to contribute more than 6% to the GDP and more than 9% to the employment. “Present service tax level exacerbated by high fuel price and swine flu threat will further push down the demand for India holidays. In the present budget the inclusion all AC restaurants and cafes more than 2,000 square feet to pay service tax is also adding to the woes,'' Goyal said.
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →
Smart Quarterly
₹900
3 Months
₹300/Month
Smart Essential
₹2,700
1 Year
₹225/Month
Super Saver
₹3,900
2 Years
₹162/Month
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors


Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share


Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor


Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements


Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app
)