GST & Challenges to Tourism Industry of India
In the recent years of growth in GDP, there is a significant contribution by the tourism and hospitality industry. With the vast resources in terms of cultural heritage, natural habitats and age old traditions; this contribution will be more in near future. A projection indicates that tourism industry will grow to US$ 280 billion by 2026. The tourism and hospitality has potential to become engine for job growth in India. Previously different tax regimes have a cascading effect on the business and consumers are ultimate bearers of this. Ministry of tourism has stated that there was a growth of 15.5% in domestic tourists in the year 2016. So the GST will affect not only on domestic tourists but also on international tourists. This study will do an analysis of interstate status of tourism. Data shows that culturally rich north eastern states shared less international and domestic tourist outreach.