FHRAI criticises Agoda, world’s leading online travel platform, for not following India’s GST rules

FHRAI Highlights Concerns Over Agoda’s Commission Structure and Its Adherence to GST Regulations

The Federation of Hotel and Restaurant Associations of India (FHRAI) has complained about modifications introduced by Agoda, the world’s leading online travel platform, that are adversely impacting Indian hotel partners.

FHRAI claims that Agoda has changed its commission structure, now charging commission on the full room rate, including GST, rather than just the room price before tax, as agreed earlier. This new approach is putting extra financial strain on hotel owners, many of whom are still recovering from the pandemic.

The association also criticised Agoda for not following India’s GST rules. They allege that Agoda is charging commission on the GST portion of the room rate, which is against the law, and is not applying GST on its own commission invoices, which could unfairly shift the tax burden onto Indian hotels.

Apart from the commission issues, FHRAI reported other complaints…