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Tour operators seek tax relief
September, 25th 2008

As the countdown for Commonwealth Games-2010 has begun, tour transport operators have urged the finance ministry to give them a one-time exemption from excise duty and Value Added Tax (VAT), allowing duty-free import of vehicles, besides providing them interest subsidy to ensure their preparedness for hassle-free transport during the event.

Indian Tourist Transporters Association (ITTA), the body of travel and tour operators, has also asked the home ministry to expedite the process for getting security clearance for the vehicles and the drivers who will operate them during the Games.

"The government has indicated to us that we need to be adequately prepared well in time for the Games and we intend to do so. But in view of the huge investment required, we have written to the commerce and finance ministries to provide us one-time exemption from excise duty and VAT under the Export Processing Guarantee Scheme (EPCG) on the purchase of vehicles which is a costly exercise," said Sarbjit Singh, president of ITTA.

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