The budget has doled out a double whammy for the travelers. Both flights and train rides have become more expensive, with the service tax hiked from 10% to 12% in case of air travel. Besides, for the first time, the service tax is set to be levied on train travel by AC classes and first class. So, no matter which mode of transport you choose, your travel budget is going to bloat.
Then there is the issue of cancellation of Kingfisher Airlines' licence, which has sent air fares sky-rocketing. A Mumbai-Delhi flight, which cost around Rs 4,500 just a week ago, is now going for upwards of Rs 7,000. However, according to industry insiders, the worst is yet to come as per a report in ET by Sushmita Choudhury Agarwal.
One of the factors fuelling this increase is the fees, surcharges and taxes being tacked on to every aspect of travel, be it in a transparent or sneaky manner. Here's a look at some such charges that have been introduced lately.
Peak season fee
Hotels, airlines and cruise ships have been charging higher rates during peak season for as long as one can remember-the mandatory gala dinners being an added sore point. But did you know that some travel agents too charge a premium for booking holidays during peak season? This, admittedly, is more rampant among the small-time travel agencies, but according to Raja Natesan, chief operating officer, TUI India, even bigger players have been known to do the same. For instance, Rhino Tours, based in Guwahati, Assam, charges an additional Rs 500 for each package tour to Kaziranga in January and February, the best time to visit the national park.
Amendment fee
This one goes by many names-handling fee, administration charge, documentation charge, and possibly more. No matter what it's called, this charge (applicable on any change in the itinerary or for refunding a confirmed purchase) is increasingly being imposed on customers. This is in addition to the regular cancellation charges, as specified by the airline, tour operator or cruise liner in question.
An alternate name could be 'increased paperwork' fee, never mind that you've already paid a hefty service fee to book your travel in the first place. Delhi-based travel services company, Proyatra, is upfront about charging an additional administration fee of Rs 250 per booking for any modifications, changes or cancellations. Yatra.com, on the other hand, charges Rs 250 per person per segment as standard cancellation charge in addition to the airline's cancellation penalty, and also imposes a fee of Rs 300-500 per person for any offline cancellations.
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