Article · 10 min read

Travel agency in India 2026: TCS and the GST choice

CalcGuru · calcguru.in Free Beginner India

A July 2026 guide to starting a travel agency: no licence is required, Ministry of Tourism recognition is voluntary and IATA accreditation optional, TCS on overseas packages is a flat 2% from 1 April 2026, and GST is either 5% on the package as a tour operator or 18% on commission as an agent.

  • Collect TCS at 2% on every overseas tour package from rupee one.
  • Choose the tour operator (5% without credit) or agent (18% on commission) model deliberately.
  • Most new agencies book air tickets through consolidators rather than IATA accreditation.
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The question it answers

  1. How do I start a travel agency in India?

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