The Demand For the Cheap Flights is on a Stand Still

People use to depend on cheap flights for their travel needs on a large scale. Whether it is a business tour or just holiday making, the cheap flights were greatly relied on by lots on consumers. It was even, became habitual to look for the cheap flights chart first for any sort of flight journey. The airlines industries were also making good business as more and more people began to travel through flights as the charge as just a bit more than the usual train and bus. It was even observed that the demand for the other classes were on a standstill, while the demand for the cheap flights was galloping high.

Now it seems like the demand for not only the cheap flights but the air-tickets as a whole has come to a standstill. It might have lessened the preference for the flights when compared to the railways and the water transportation facilities. The main reason behind the strategy is the new service tax been levied by the Indian government on the aviation sector. To add more unfortunate elements the hike in the oil price has also paved the way for the same and it collectively led the situation to be worse. Now people are a bit vacillate to book the tickets for the cheap flights even due the levying of tax which accounts for 100′ on Domestic and 500′ on International flight tickets respectively. This will be pertinent to the cheap flights even.

The step taken by the Indian government was with an aim to increase the scope for the aviation sector but was the step fruitful is rather more confusing and mysterious at stand. As per the notification from the Department of Revenue 10% gross value of ticket or 100′, whichever is less will be charged from the consumers irrespective of any class they are traveling. The 12% service tax on the business class and first class seats in the international flights will persist as before. Though the number of the people depending on the cheap flights have too reduced it has hardly affected the business as a whole as the airline companies are compensating the loss with the service tax levied and when compared the reduced number is just negligible as people have been addicted to the service and the service providers as a whole.