How is Budget 2023 Going to Affect Travel Plans This Year?

Synopsis: As we all know, the Union Budget 2023 is out, and it is clear that your international travel for this year will get costlier than ever before. The finance minister has announced a few other plans to boost international tourism in the country. 

The Indian Budget 2023, which was just released by Finance Minister Nirmala Sitharaman, is likely to have a big effect on how Indian citizens travel this year. In the budget, the customs duty on many things, including gold and silver, is set to go up. This is likely to make traveling abroad more expensive. Also, the budget calls for taxes on domestic air travel to go up, making it more expensive to fly within the country. 

According to the recent budget, the TCS (tax collection at source) has been increased from 5% to 20% for overseas tour packages.

On the other hand, the budget has plans to turn 17 famous tourist spots into world-class tourist destinations. This will give the tourism industry a boost and create more jobs in the sector. The government has also announced plans to launch a new scheme for the development of the country's rural tourism, which is expected to attract more tourists to India's rural areas. Earlier this year, the government announced new schemes for travelers, like Swadesh Darshan and Dekho Apna Desh.

Some business leaders thought that this would have a big effect on the tourism industry. However, there is a catch: this source tax is only taken from tour packages that cost more than Rs 50 lakh. A business expert says that if we look at it from a different point of view, it could actually help promote domestic tourism because domestic travel packages are much more popular than international ones. He went on to say that travel agencies and tour operators can now break up expensive tour packages into several smaller trips.

Budget highlights for travel and tourism in 2023:

  • The government will take the initiative to promote tourism in border villages.

  • Fifty different tourist destinations will be chosen and developed into a comprehensive package for both domestic and international tourism.

  • In order to promote the 'One District, One Product' scheme, the government will also set up a unity mall in state capitals, tourist spots, or monuments. This mall will help promote GI products and other handicrafts from various states.

In conclusion, the Union Budget 2023 may make it more expensive to travel abroad or within India, but it is also likely to bring more money into the tourism industry, which will create new jobs and help the economy. Travel fans should plan their trips carefully and keep an eye out for new places to see and things to do in India.