Some benefit for inbound tour operators likely

Sarab Jit Singh, Vice Chairman, FAITH, says, “While the service tax would increase to 60 per cent, the government has allowed input credit, which might neutralise the effect of service tax. However, I feel that inbound tourism might not be affected much because of this rule. In fact, there might be some benefit for inbound tour operators in the long run. It will be outbound tour operators, which will see the impact of this announcement. I feel that this ruling is part of government’s move towards GST. Such measures would force people to do business legitimately.