Tour operators set to get GST relief under new ‘margin scheme’

To reduce the tax incidence in the tour and hospitality sector, the fitment committee of the Goods and Service Tax (GST) Council has suggested levying tax on the margins made by tour operators at a suitable rate. Currently, a 5% GST is levied on gross tour cost without the facility of input tax credit. The panel also suggested “regularising” 5% GST paid by ice-cream parlours without input tax cred…