Foreign Airlines Exempt from GST on Services to Branch Offices, New Rules Effective from October 10

Foreign Airlines Exempt from GST on Services to Branch Offices, New Rules Effective from October 10

By Nishang Narayan

Published on October 13, 2024

Foreign airlines operating in India will no longer be liable to pay Goods and Services Tax (GST) on services provided by their head offices to branch offices in the country, as per a government notification issued by the Central Board of Indirect Taxes & Customs (CBIC). This decision, part of the recommendations made at the 54th GST Council meeting, will take effect starting October 10.

The exemption is subject to the condition that foreign airlines secure a certificate from the civil aviation ministry, confirming that their operations in India fall under the scope of a bilateral air services agreement. This move is expected to ease the tax burden on foreign airlines and streamline operations.

In addition to this, academic institutions that have received grants for research purposes will also be exempt from GST, further promoting research and development activities across the country.

The CBIC has rolled out several new GST-related updates, including measures aimed at reducing penalties for taxpayers. Individuals or businesses that comply by March 31, 2025, will be eligible for waivers on penalties and interest. This is particularly applicable to taxpayers facing demand orders under section 74(1) of the GST Act, as long as they have not filed an appeal.

image

The GST Council has also introduced a special rectification window for taxpayers to amend past input tax credit (ITC) discrepancies. This opportunity is designed to help taxpayers correct genuine mistakes made in the past, potentially resolving many pending litigations and reducing the burden on both taxpayers and the government.

Additionally, the Travel Agents Association of India (TAAI) has raised concerns over the excessive GST charges on air ticket cancellations and modifications. The association revealed that GST was incorrectly charged at 18% instead of the appropriate rates of 5% for economy class and 12% for business class, leading to an over-collection of taxes. They have urged airlines and relevant ministries to refund the excess GST that was wrongly collected.

Experts believe that the latest measures are a step towards encouraging voluntary compliance while resolving disputes outside the court system. By offering taxpayers a chance to correct their errors and reduce penalties, the government aims to streamline tax compliance and promote a more efficient system.

This series of notifications, especially the rectification of ITC mistakes, is expected to significantly reduce taxpayer grievances and litigation, creating a more taxpayer-friendly environment moving forward.


IRCTC Launches Bharat Gaurav Nepal Yatra from Indore for Pashupatinath Pilgrimage

IRCTC Launches Bharat Gaurav Nepal Yatra from Indore for Pashupatinath Pilgrimage

By Manu Vardhan Kannan

Published on May 17, 2026

The Indian Railway Catering and Tourism Corporation (IRCTC) has announced a special religious journey to Nepal under its Bharat Gaurav scheme, giving travellers and pilgrims from Madhya Pradesh and nearby regions an opportunity to explore important spiritual and tourist destinations in the neighbouring country.

The special 'Pashupatinath Nepal Darshan Yatra' will begin from Indore on June 12 aboard a Deluxe AC tourist train. According to IRCTC, this is the first Bharat Gaurav tourist train service designed for passengers travelling beyond India’s borders, making it a significant addition to its tourism offerings.

The journey will run for nine nights and 10 days, covering some of Nepal’s well-known religious and tourist attractions. The itinerary includes visits to Pashupatinath Temple in Kathmandu, Pokhara, Chitwan National Park, and Manakamana Temple. As part of the experience, travellers will also get access to a ropeway ride at Manakamana Temple and a Jeep Safari at Chitwan, arranged by IRCTC.

Passengers can board the train from multiple stations across Madhya Pradesh including Indore, Ujjain, Shujalpur, Sehore, Rani Kamalapati (Bhopal), Itarsi, Narsinghpur, Jabalpur, Katni, and Satna.

Rahul Holkar, Executive Tourism (Indore), said: "Dining facilities will be available for passengers onboard, with two restaurant coaches arranged for this purpose."

He also shared that the train will have 14 coaches and offer three accommodation categories: First AC, Second AC, and Third AC. The package further includes five-night accommodation in three-star hotels, along with local sightseeing through AC buses.

IRCTC has introduced different fare structures based on the selected category. The package covers rail travel, hotel stays, meals onboard and during the journey, local transportation, sightseeing, travel insurance, tour escorts, security arrangements and housekeeping services.

Officials also clarified that the Nepal Darshan Yatra is a guided tourist journey and should be viewed as a specially curated travel experience rather than a regular international tour package. Bookings for the Bharat Gaurav Nepal Yatra can be made through IRCTC’s official website and authorised offices.


Air India Begins Twice Daily Flights to Ludhiana Halwara Airport

Air India Begins Twice Daily Flights to Ludhiana Halwara Airport

By Manu Vardhan Kannan

Published on May 16, 2026

Air India has commenced commercial operations to Ludhiana’s newly operational Halwara airport, becoming the first airline to launch services at the airport. The new route strengthens connectivity between Ludhiana and Delhi while also opening access to Air India’s wider international network.

The inaugural flight from Delhi landed at Halwara airport at 0703 Hrs, while the return service departed from Ludhiana at 0800 Hrs. Air India will now operate two daily flights on the Delhi–Ludhiana route using its A320 family aircraft.

The newly launched services have been scheduled to provide passengers with smoother onward connections through Delhi to Air India’s international destinations. Travellers flying from Ludhiana can conveniently connect to cities including London, Paris, Milan, Rome, and Birmingham through a single ticket and a unified baggage allowance system with through check-in facilities.

Passengers will also benefit from same-terminal transfers at Delhi airport, allowing easier movement between domestic and international flights.

The flight schedule for the Delhi–Ludhiana route includes:

  • AI481: Delhi to Ludhiana (Halwara) – Departure: 05:55 | Arrival: 07:05 | Daily
  • AI482: Ludhiana (Halwara) to Delhi – Departure: 07:55 | Arrival: 09:10 | Daily
  • AI483: Delhi to Ludhiana (Halwara) – Departure: 12:55 | Arrival: 14:10 | Daily
  • AI484: Ludhiana (Halwara) to Delhi – Departure: 14:40 | Arrival: 15:55 | Daily

With the launch of operations at Halwara airport, Air India continues to expand its domestic network while strengthening connectivity between regional cities and international destinations.

Bookings for Air India’s Ludhiana flights are now open across all channels, including the airline’s website, mobile app, and travel partners worldwide.


Booking.com Highlights Shift to Personalised Summer Travel Among Indian Travellers

Booking.com Highlights Shift to Personalised Summer Travel Among Indian Travellers

By Hariharan U

Published on April 23, 2026

Booking.com has unveiled its summer travel insights for 2026, highlighting a clear shift in how Indian travellers are planning their holidays. Defined as the “Era of You,” the report points to a growing preference for personalised, intention-led journeys over traditional checklist travel.

This summer, travellers are increasingly choosing destinations that align with their individual interests, with a strong focus on comfort, accessibility, and meaningful experiences. Domestic travel continues to dominate, with a diverse mix of destinations shaping itineraries across the country.

High-altitude “coolcation” spots such as Ooty, Darjeeling, Munnar, and Manali remain in demand as travellers seek respite from rising temperatures. At the same time, spiritual destinations like Rishikesh and Varanasi are seeing a notable rise in popularity, reflecting increased interest in faith-led and introspective travel.

Urban and cultural destinations are also witnessing renewed traction, with cities like Jaipur and Udaipur climbing search rankings. Meanwhile, coastal favourites such as Goa and Puducherry continue to attract travellers looking for relaxed seaside getaways.

Among the most searched domestic destinations for the summer period are Mumbai, Bengaluru, New Delhi, Chennai, and Hyderabad—indicating a balanced mix of metro travel and leisure escapes.

On the international front, Indian travellers are increasingly looking east, with Asia emerging as a preferred region. Destinations such as Tokyo, Singapore, Bangkok, Kuala Lumpur, and Ubud dominate search trends. Japan, in particular, is witnessing a surge, with Tokyo leading the list and cities like Osaka and Kyoto rapidly climbing in popularity.

While European cities such as London and Paris continue to feature among top choices, the broader trend reflects a shift toward destinations offering a mix of culture, cuisine, shopping, and convenience.

Another key insight is the growing demand for alternative accommodations. Travellers are increasingly exploring homestays, guest houses, apartments, and villas, seeking flexibility, privacy, and options that align with varied travel needs, whether for families, groups, or solo journeys.

Commenting on the trend, Santosh Kumar, Regional Head South Asia at Booking.com, noted that travellers are becoming more mindful and strategic, choosing destinations that reflect the experiences they value most. He added that the company continues to focus on simplifying the travel journey by integrating flights, stays, transport, and experiences into a seamless ecosystem.

Overall, the data underscores a broader evolution in travel behaviour, where personalisation, purpose, and convenience are shaping how Indians explore both domestic and international destinations.

Stay up-to-date with the latest Hospitality news and trends in the Hospitality industry!

Subscribe to Hospitality news e-magazine for free and never miss an issue.

By clicking subscribe for free you agree to the Terms & Conditions and acknowledge our Privacy Policy.

Advertise With Us

We have various options to advertise with us including Events, Advertorials, Banners, Mailers, etc.