Difference Between Tour Operator and Travel Agent Services
1. “Tour Operator” means
- Any person, Firm or Company engaged in the business of Planning, scheduling, organizing or arranging tours like arrangements of accommodation, sight-seeing or other similar services by any mode of transport.
- Any Public sector undertaking operating tours.
- Any person, Firm or Company engaged in the business of tour in a tourist vehicle covered by a permit granted under the Motor Vehicles Act 1988 (59 of 1988).
2. “Travel Agent” means
Any person engaged to providing service to customer in relation to booking of passage of travel by road. That Means Air Travel Agent Rail Travel Agent are excluded.
Service Tax on Tour Operator Service
|Sr. No.||Description of taxable service||%Abatement||% Taxable||Conditions|
|1||Services by a tour operator in relation to a package tour Including cost of accommodation, food,transport arrangement, tourist guide, entry to monuments and other similar services.||75||25||The bill issued for this purpose indicates that it is inclusive of charges for such a tour.|
|2||A tour operator is providing services solely of arranging or booking accommodation for any person in relation to a tour.||90||10||1. The invoice, bill or challan issued indicates that it is towards the charges for such accommodation. 2. This exemption shall not apply in such cases where the invoice, bill or challan issued by the tour operator, in relation to a tour, only includes the service charges for arranging or booking accommodation for any person and does not include the cost of such accommodation.|
|3||Any services other than specified at 1 and 2 above.||60||40||The bill issued indicates that the amount charged in the bill is the gross amount charged for such a tour.|
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