Why Your Travel Bills will Soar

By siliconindia  |  Wednesday, April 4, 2012

Bangalore: The travelers and vacationers will have a tough time managing their budgets as both train flight rides have turned more costly. In case of air travels, the service tax has been hiked from 10 percent to 12 percent. Apart from that, it’s for the first time the service tax is to be levied on train travel by AC classes and first class. So no matter what transportation mode you chose for, you travel expenses are set to inflate.

Cancellation of Kingfisher Airlines' license is another issue that has sent air fares sky-rocketing. A Mumbai-Delhi flight, which cost around 4, 500 just a week ago, is now going for upwards of 7, 000. But according to industry insiders, the worst is yet to be seen. "There is no denying that in the next two-three years, travel, including hotel stay, transportation and travel service providers, will become more expensive,” said Nikhil Ganju, Country Manager, Trip Advisor, India.

Fees, surcharges and taxes being nailed on to every aspect of travel, be it in a transparent or sneaky manner are one of the factors fuelling this boost. Listed are some such charges that have been introduced lately.

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