Travel Agents Association of Pakistan on Friday urged the government to allow 10 percent compensation fee on gross tax collection from the travellers on the purchase of air tickets.
According to a press release issued here on Friday, the Association in its meeting held recently resolved that they were already collecting airport tax, fuel surcharges and war risks, withholding tax, stamp duty (now withdrawn) and Central Excise Duty (now withdrawn) from the buyers of air ticket, which was an additional burden on them.
The newly imposed taxes on Travel Agents for Rs 500 embarkation fee and Rs 150 in all classes of domestic embarkation fee, should be directly collected from the travellers by the Civil Aviation Authority.
However, they maintained that these additional taxes can be collected by the travel agents if they are paid service fee at the rate of 10 percent on gross tax collection.
The Task Force Committee of the Association has, however, recommended to withdraw the war risk insurance, the stamp duty and permission duty free import of vehicles for the tour operators besides 10 percent service charges on collection of taxes of federal and provincial governments.