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DGCA Drafts Tougher Air Ticket Refund Rules With 48-Hour Free Cancellation and 21-Day Payouts

The regulator opened a public consultation through November 30 following mounting complaints about delayed or reduced refunds.

Overview

  • Under the draft, airlines must offer a 48-hour look‑in window for free cancellation or amendment, except for departures within five days domestically or 15 days internationally.
  • Carriers would be required to complete refunds within 21 working days, and they would remain responsible for refunds on tickets sold through agents or online portals.
  • All airport taxes and fees would have to be returned to passengers, including on fares marketed as non‑refundable.
  • Refunds could be placed in a credit shell only at the passenger’s request, and cancellations for medical emergencies would be eligible for a refund or credit.
  • The proposal bars extra charges for correcting the same passenger’s name within 24 hours of direct website booking and would limit penalties and separate refund processing fees.