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Even if you miss your flight you can get a refund of some part of the Ticket Fare.. Airlines will refund applicable taxes and fees if a passenger is a no-show, which means they miss their flight without canceling or changing their booking in advance. This includes statutory taxes, User Development Fee (UDF), Airport Development Fee (ADF), and Passenger Service Fee (PSF). The taxes and fees can amount to 15–20% of the total fare. However, if a passenger cancels their ticket within the two-hour no-show window, they will only receive a refund for airport taxes. After the flight has departed, a no-show passenger will only be eligible for a refund of taxes. The amount of the refund and any modifications that can be made depends on several factors, including the fare type, flight route, and the time of cancellation or change. Passengers can request a refund by visiting the manage booking section on Airlines website.

Our Partner Rohini Mukherjee and Principal Associate Deep Chandra Upreti shared an insightful article titled 'Code share arrangements between airlines: A case fit to tax?', which was published by The Financial Express.   The article highlights that in the airline industry, codeshare and interline agreements enable airlines to expand their network by selling tickets on routes they don't operate directly. While these arrangements benefit both airlines and passengers, there's significant ambiguity around the GST implications on revenue sharing between airlines, leading to potential double taxation. This tax uncertainty could impact the financial health of the aviation sector, despite the government's efforts to boost the industry through initiatives like the UDAN scheme.   Similar to the relief granted to the insurance sector, clarity and potential tax relief for aviation are needed to support its continued growth.   Read this article online - https://lnkd.in/gfaTJYKF #GST #taxation #codeshare #airlines #UDANscheme #airlinesindustry #aviationindustry

Encounter when booking a flight in India: There is something called the CUTE Tax. CUTE Fee: This is a fee related to airport infrastructure, specifically for the "Common User Terminal Equipment" which covers the costs of check-in and other terminal services. Fuel Charge: This fee accounts for the cost of jet fuel used by the airline. Passenger Service Fee: This is a charge for the various services provided to passengers, such as handling and support. Government Tax: This includes taxes imposed by the government on airline tickets. User Development Fee: This fee contributes to the development and maintenance of airport facilities and services. Governments need funds to operate, which is why they impose taxes, such as the government tax on airline tickets. Similarly, because jet fuel is costly, fuel charges are understandable. However, there are three other charges that might raise questions: CUTE Fees Passenger Service Fee User Development Fee 1) CUTE Fees: CUTE Fees, or Common User Terminal Equipment fees, are for using various airport facilities like metal detectors, escalators, and other equipment. Although these fees are collected from passengers, they are not set by the airlines but by the Airport Authority of India (AAI). These fees help maintain and clean airport facilities. 2) Passenger Service Fee & User Development Fee: The User Development Fee (UDF) and Passenger Service Fee might seem similar, but they serve different purposes. According to Air India's website: UDF: Charged by airports to fund passenger services and infrastructure. Passenger Service Fee: Charged by the AAI to cover security and other services at both AAI and private airports. So, even though you’re being charged twice, it’s because the UDF is collected by the airports, while the Passenger Service Fee is collected by the AAI.

Claim VAT! How do you claim Value Added Tax (VAT)? Here are a few quick tips: 🌍 Check to make sure the country you are visiting offers a VAT refund and if it does what is the percentage and how much must you spend? 🌍 Next bring your passport, or a copy of it, with you on your shopping trip. 🌍 Get the necessary paperwork you need from the retailer you are making the purchase with. 🌍 And file the paperwork at the airport, port or border when you leave. 🌍 There are also several Apps available too that can assist with the process. For example, Global Blue. NOTE: There isn't a guarantee you will be refunded, but you don't know unless you try. Be sure to save this post for when you are ready for your next trip to Europe. #vatrefundfortourists #traveltip #tipsandtricks #luxurytraveladvisor #europedestinations

Most train tickets in the UK are VAT-exempt. 🚆 However, additional services or amenities may incur VAT at the standard rate of 20%. Here's a quick guide to understanding VAT on train travel: 1️⃣ Season tickets: VAT-exempt. 2️⃣ Advance tickets: VAT-exempt. 3️⃣ First-class tickets: VAT may apply to the upgrade portion. 4️⃣ Special services: Such as catering or sleeping berths, may be subject to VAT. Know what you’re paying for and stay informed about VAT charges on your train journeys! Read the article to get complete insights for VAT on train tickets in the UK. 📞 0203 4411 258 📧 info@accotax.co.uk 🌐 www.accotax.co.uk #TravelSmart #TrainTravel #VAT #UKTravel #TravelTips #FinancialFreedom #TaxHelp #TaxFiling #HMRC #FinancialAdvice #SelfAssessment #TaxReturns #AccountingSupport #AccountingExperts #LondonAccountants #Business #Accountants #TaxExperts #CharteredAccountants #LondonExperts #TaxSolutions #AccountingServices #AccountantsinLondon #Accotax #Accounting #Bookkeeping #Finance #UnitedKingdom #Uk #London 

✈️ How do flight ticket taxes impact airlines and the environment? Our researchers Xavier Fageda and Jordi J. Teixidó-Figueras reveals in a new study that these taxes lead to a 12 % decrease in low-cost flights and a 14 % reduction in CO2 emissions across Europe. 📊 Who is most affected? Low-cost airlines, which serve mostly point-to-point passengers, bear the brunt of ticket taxes. Higher costs are passed on to passengers, with fares increasing by 20-56 %. Those with lower fares face the biggest impact. 🌍 By reducing the number of low-cost flights, these taxes contribute to lowering carbon emissions. The study highlights how such fiscal policies can have a notable effect on environmental sustainability. 🔍 Drawing on over 61,000 airline-route pairs, this UB study sheds light on the distributional effects of flight ticket taxes, showing how they impact fare structures and different market segments across Europe. More information: https://lnkd.in/dic8BiQz #Economics #Airlines #Sustainability

After noting significant violations by airlines regarding unpaid goods and services tax (GST) collected on no-show or last-minute cancelled tickets, the government has reportedly mandated that airlines share daily passenger records with tax authorities. The GST authorities now require every aircraft operator to provide passenger or final flyer data daily, along with total bookings. This measure will enable tax authorities to reconcile the data with the GST paid by these operators.These amended rules from the Central Board of Indirect Taxes and Customs (CBIC) are effective immediately. According to the new rules, all aircraft operators must transfer passenger data 24 hours before departure and again at wheels-off time, allowing authorities to verify data at two points.Earlier, airlines were only required to share data either within 24 hours of departure or at wheels-off time, or at the scheduled take-off time, granting them the flexibility to select which data to report. The new rules eliminate this choice.At present, passengers are charged a 5% GST on economy class tickets and 12% on business class tickets. Businesses can also claim an input tax credit (ITC) on airline tickets purchased for business purposes.Sources indicate that the Directorate General of GST Intelligence (DGGI) is investigating cases where airlines collected GST on last-minute cancellations but did not deposit it with authorities. Businesses have also claimed ITC on these cancelled tickets, contributing to substantial revenue leakage.“This measure will help the government plug the gaps and ensure smooth compliance between government and industry,” an official stated.

Individuals can claim travel expenses as a deduction on their tax returns if: - they received a travel allowance during the tax year, or - made use of a company provided vehicle, or - they are a commission earner, and - retained a detailed logbook, and - actually travelled for business **Reimbursed travel cannot be claimed as this is not a taxable receipt. The logbook should contain opening and closing km, full details of business travel including date of travel, starting point, destination, kilometers travelled and reason for trip. **Remember travel between home and office does not qualify as business travel. Travel to meetings, conferences, clients, and other branches qualify as business travel. There are two methods of calculating the deductible amount against the travel allowance: - The Actual cost method This method requires accurate information in the form of receipts, tax invoices and other relevant source documents. The qualifying deduction is based on computing actual expenditure per km and multiplying it with the business km. - The Deemed cost method The deemed costs method consists of three components: fixed costs, fuel costs and maintenance costs. SARS provides an annual table which is used to determine the appropriate deemed cost elements based on the vehicle value. In order to use the deemed cost method, taxpayers must be responsible for paying maintenance and fuel costs. Download the SARS logbook here: https://lnkd.in/eBXefji7 #SARS # IncomeTax #PersonalTax #TravelAllowance #EmployerVehicle #TravelReimbursement #Logbook #TravelExpenses

The Ultimate Guide to VAT Refund Options for Tourists and Businesses: In the UAE, obtaining a VAT refund is streamlined with specific procedures tailored for tourists and businesses: a) Tourist Refund Scheme: The UAE offers a tourist refund scheme that allows non-residents to claim a VAT refund on purchases made during their stay. This applies to goods that are taken out of the country within 90 days from the date of purchase. Tourists can obtain the necessary paperwork from retailers who are registered under the ‘Tax Refund for Tourists Scheme’ and submit them at designated refund points located in major airports and border crossings. b) Business Refund Procedures: For businesses not established in the UAE but who have incurred VAT, the Federal Tax Authority (FTA) provides a mechanism to reclaim this VAT. Businesses must submit a refund application through the FTA’s official portal, detailing their VAT expenses and providing necessary documentation. c) Online Refund Services: The UAE’s Federal Tax Authority (FTA) offers an online system for both tourists and businesses to apply for VAT refunds. This digital approach simplifies the submission and processing of required documents. d) Retailer Schemes: Certain major retailers and shopping centers in the UAE provide instant VAT refund facilities at the point of sale for tourists, enabling immediate processing of VAT refunds. e) VAT Refund Agencies: Several professional agencies operate within the UAE to assist both tourists and businesses in managing the VAT refund process. These agencies handle the necessary documentation and interactions with tax authorities in exchange for a service fee. f) Customs Validation: When leaving the UAE, tourists must present their purchases along with completed VAT refund documents at customs for validation. This step is crucial for the refund to be processed.

Grounded Aspirations: GST Council Rejects Aviation Fuel Proposal – What's Next for Airlines?" The aviation industry’s long-anticipated dream of having Aviation Turbine Fuel (ATF) under the unified Goods and Services Tax (GST) regime has been turned down by the Indian government panel. The rejection comes amidst state governments' concerns over revenue loss, leaving airlines grappling with inconsistent and higher taxation across states. Finance Minister Nirmala Sitharaman, addressing the GST Council meeting, clarified, “States do not want ATF to be brought under GST, just like petrol and diesel.” This decision reinforces the current framework where state governments retain the authority to tax ATF at variable rates, creating challenges for airlines aiming for nationwide operational consistency. Business Impact 1️⃣ Uneven Tax Burden: Airlines will continue to face varying tax rates on ATF, leading to fluctuating operational costs. For an industry already operating on razor-thin margins, this adds another layer of unpredictability. 2️⃣ Reduced Competitiveness: Global competitors benefit from streamlined taxation structures. Indian airlines may find it harder to compete due to a fragmented tax regime. 3️⃣ Impact on Pricing: Higher operational costs may translate into increased ticket prices, potentially slowing passenger growth, especially in price-sensitive domestic markets. 4️⃣ Missed Opportunity for Collaboration: A unified GST on ATF could have simplified compliance and promoted collaboration between states and airlines to boost the aviation sector. Business Lesson This decision underscores the importance of aligning taxation policies with industry growth objectives. States prioritizing immediate revenue concerns over long-term economic benefits risks limiting growth opportunities for industries like aviation that have high economic multipliers. Proactive collaboration between industries and policymakers is vital to address mutual concerns. Creating win-win frameworks can drive sector growth without significantly compromising revenue. What’s Next? The aviation sector must: ✈️ Advocate for dialogue between states and the central government to highlight the long-term benefits of uniform taxation. ✈️ Innovate operational strategies to mitigate taxation discrepancies, such as optimizing fuel procurement. ✈️ Explore incentives or rebates that states might offer to attract aviation-related investments. 💬 Do you think states should rethink their stance on ATF under GST? Share your insights below! 🔄 If you found this post insightful, like, repost, and drop a comment. 📢 To level up your feed with more industry-driven perspectives, don’t forget to follow me! #Aviation #GSTIndia #AviationFuel #TaxationMatters #IndustryInsights #EconomicGrowth