Air travel to get dearer

Jun 25, 2010 - AGE CORRESPONDENT |

New Delhi

Come July 1, and air-travel will get expensive by at least Rs 100 for domestic travel and Rs 500 for international travel. According to a finance ministry notification, the levy of service tax is on both domestic and international travel.
The notification states that the service tax charged will be 10 per cent of the gross value of the ticket or Rs 100 per journey, whichever is less, on passengers for domestic travel in any class.
For international travel, it will be 10 per cent of the gross value of the ticket or Rs 500 per journey, whichever is less, for passengers catching a flight from India in the economy class.
The tax was already levied earlier on the first and business class international air travel. By issuing the notification, the government will implement a decision announced in this year’s budget.

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