Facilitation Fee levied by authorized travel agents on Air Tickets – Clarification orders issued by PCA(Fys)

Facilitation Fee levied by authorized travel agents on Air Tickets

Principal Controller of Accounts (Ordnance Factories), Kolkata

Important Circular

Office of the PCA (Fys) Kolkata,
10A, S. K. Bose Road,
Kolkata -700001

Dated: 20/1/2016
NO.2078/AN-VIII/TA/LTC/BL

Sub: Facilitation Fee levied by authorized travel agents on air tickets book on Government account

A copy of Gol, MoF, DoE, OM no. 19024/1/2012-E-IV, dated 5/9/2014 on the above subject along with M/s Balmer Lawrie Co. Ltd. Letter dated 3/11/2015 is forwarded herewith for your information and guidance, please.

sd/
Nabarun Dhar
Jt. C of A.(Fys)

N0.19024/1/2012-E-lV
Government of India
Ministry of Finance
Departrnent of Expenditure

North Block, New Delhi.
Dated the 5th September, 2014.

OFFICE MEMORANDUM

Subject- Facilitation Fee levied by authorised travel agents on air tickets booked on Government account – Withdrawal regarding.

Attention is invited to this Department’s O.M of even number dated 10th October 2013 wherein the authorized travel agents namely M/s Balmer Lawrie & Company Limited (BLCL) M/s , Ashok Travels & Tours (ATT) and Indian Railways Catering and Tourism Corporation Ltd. (IRCTC) were allowed to levy ‘Facilitation Fee’ @ Rs.100/- per ticket for domestic sector and Rs.300/- per ticket for international sector for air travel. Wherein Government of lndia bears the cost of air passage.

2. The issue has been re-examined in consolation with the Ministry of Civil Aviation and Department of Legal Affairs in the light of provisions of the Air craft’s Rules,1937, as amended from time to time and it has been decided to Withdraw this Department’s O.M of even number dated 10th October 2013 with immediate effect. Consequently, no service charges (by whatever nomenclature), which are not included in the tariff charged by Air India / Airlines, are required to be paid to the authorized travel agents.

3. payment to the authorized travel agents for the Bills raised by them for air tickets produced/ purchased till date in respect of air travel already undertaken or due to be undertaken would be regulated as per O.M of even number dated 10.10.2013. it is reiterated that as far as possible air tickets on Government account may be obtained directly from Air India/ Airlines (booking counter/offices/website) and if obtaining tickets directly from Air India/ Airlines is not possible should the services of authorized travel agents be availed of.

4. All Ministries/Departments are advised to bring these instructions to the notice of all concerned from compliance.

Sd/-
(Subhash Chand)
Director

Balmer Lawrie
TOURS & TRAVEL

Date: November 03, 2015

To
Principal Controller of Accounts (FYS)
1OA, S K Bose Road
Kolkata – 700001

Kind attention: Mr. Nabarun Dhar, JT. Controller of Accounts (AN)

Dear Sir,
Kindly refer to your letter ref. no. 2078/ AN-VIII/TA-DA/BL dated 16/10/15, please note that in accordance with GOI, MoF, DoE OM no. 19024/1/2012-E.IV, dated 5/09/2014, we are not charging any Service Charge/Facilitation Fee/ Processing Fee etc. in our bill.

But SERVICETAX, EDU. Cess, & High Edu. Cess, are Govt. Statutary Taxes which are chargeable if you purchase any ticket from an agency and we are regularly depositing this Service Taxes to the service tax authority vide service tax registration no. AABCB0984EST047, which is already mentioned in our bill.

Hence you are kindly requested to make payment of service taxes accordingly.

Thanking you.

Yours faithfully,
For Balmer Lawrie & Co. Ltd.,

Sd/-
(S. Nath)
Sr. Branch Manager (Travel & Vacations)

Authority: http://pcafys.gov.in/

Click to view the order

Clarification regarding purchase of Air Tickets from Authorized Travel Agents for the purpose of LTC - Dopt Orders June 2014

Clarification regarding purchase of Air Tickets from Authorized Travel Agents for the purpose of LTC - Dopt Orders June 2014

 

F.No. 31011/4/2014-Estt (A.IV) 

Government of India 

Ministry of Personnel, Public Grievances and Pensions 

Department of Personnel and Training 

North Block, New Delhi-110 001 

Dated: 19th June, 2014 

OFFICE MEMORANDUM 

 

Subject: - Clarification regarding purchase of Air Tickets from Authorized Travel Agents for the purpose of LTC. 

 

The undersigned is directed to refer to the instructions issued from time to time on the above noted subject and say that the Government employees are required to book their air tickets directly from the airlines (Booking counters, website of airlines) or by utilizing the service of Authorized Travel Agents viz. 'M/s Balmer Lawrie & Company'. 'M/s Ashok Travels & Tour' and 'IRCTC' (to the extent IRCTC is authorized as per DoPT O.M. No.31011/6/2002-Estt.(A) dated 02.12.2009) while undertaking LTC journey(s). 

 

2. In a number of cases, it has been noticed that the aforesaid instructions are not being followed and as a result various Ministries/Departments continue to make references to DoPT seeking relaxation of the conditions for one reason or the other. The most common reasons given by the employees are unawareness of the rules and non-availability of Authorized Travel Agents viz. M/s Ashok Tmvels, M/s Balmer Lawrie & Company at places where the tickets have been booked from. Even in such cases, the option of booking directly from the airlines through their website is available. In no case is the booking of tickets through any other agency is permissible. 

 

3. All the Ministries/Departments of Government of India are advised to ensure that their employees are made aware of the above mentioned guidelines to avoid breach of any of the LTC rules. 

 

4. This issues with the approval of Joint Secretary(E).

 

sd/- 

(B.Bandyopadhyay) 

Under Secretary to the Govt. of India

 

Source : www.persmin.gov.in

[http://ccis.nic.in/WriteReadData/CircularPortal/D2/D02est/31011_4_2014-Estt-A.IV.pdf]

Finmin Orders 2013: Guidelines on Air Travel on Official Tours / Leave Travel Concession (LTC) – reg.

 Finmin Orders 2013: Guidelines on Air Travel on Official Tours / Leave Travel Concession (LTC) – reg.

No.19024/1/2012-E.IV
Government of India
Ministry of Finance
Department of Expenditure

North Block. New Delhi
Dated the 9th July, 2013

Office Memorandum

Subject: Guidelines on Air Travel on Official Tours / Leave Travel Concession (LTC) – reg.

Reference is invited to instructions issued by the Department of Expenditure, Ministry of Finance from time-to-time regarding the procedure for booking of air tickets on Government account. As per existing procedure Government officials/offices can book the air tickets directly from Airlines (at Booking counters / Website of Airlines) and if needed, by utilizing the services of authorized agents. viz. M/s Balmer Lawrie & Company Limited (BLCL) and M/s Ashok Travels & Tours (ATT) [Department of Expenditure OM No.19024/1/2009-E.IV dated 16/09/2010 refers]. Air tickets for travel on LTC, to a limited extent, can also be get booked through Indian Railway Catering & Tourism Corporation(IRCTC) [Department of Personnel & Training 0M No. 31011/6/2002-Estt.(A) dated 02/12/2009 refers].

2. It has now been decided to include IRCTC as an authorized for the purpose of booking air tickets on Government account. Accordingly, if the services of a travel agent for booking air tickets on Government account is to be availed of, in addition to BLCL and ATT, the services of IRCTC can also be availed of.

3. All Ministries/Departments of the Government of India. etc. may accordingly bring these instructions to the notice of all concerned for strict compliance.

sd/-
(Subhash Chand)
Deputy Secretary of Government of India

Source: www.finmin.nic.in
[http://finmin.nic.in/the_ministry/dept_expenditure/notification/air_travel/Guideline_airtravel_09072013.pdf]