VAT Faq's

1. Q: What will the 5% VAT be charged on?

E.g: Below table is indicative room charge for 5 star hotel

Description Room Rate + Service Charge
Room Rate 1,000
10% Municipality Fee 100
10% Service Charge 100
Gross room rate 1,200
Tourism Dirham 20
Sub-Total 1,220
5 % VAT 1100 x 5% = 55
Grand Total 1,275
A: VAT will be applied on Room rate + service charge as demonstrated in the above table.

2. Q: Is VAT charged on customs duties?

A: VAT will be charged on the final amount including custom duties. Import VAT can be recovered as per the VAT regulations.

3. Q: Will VAT be applied on payments received in 2017 for 2018 bookings?

A: Any bookings for supply of goods and services to be delivered in 2018 will be subject to VAT. VAT will also be applicable on long term stays in 2018 (and onwards) whether or not the contract was signed prior to the issue or implementation of the law. Please refer to article (70) of the Cabinet Decision No.

(52) of 2017 on the Executive Regulations of the Federal Decree-Law No (8) of 2017 on Value Added Tax.

By way of an example, VAT will be applicable in the following scenarios:

a. Reservations made for 2018 before the official VAT announcement.

b. Reservations made for 2018 after VAT announcement.

c. Long term stay guests before VAT announcement continuing their stay in 2018.

4. Q: In cases where some units are owned and leased out by non-licensed persons, how is VAT going to be charged?

A: VAT will be charged in the same manner as a licensed business/person. Any business/person having taxable supplies over AED 375,000 over the last 12 months should register and account for VAT on all supplies after registration, even if the person is not duly licensed to conduct activity.

5. Q: Is VAT applicable to below services?

a. Tourist Visa. The Tourist Visa fee will be subject to a cabinet decision on Government fees. However, any third party services relating to processing and issuance of tourist visas are subject to VAT.
b. Local private transport (Hotel transportation for guests). This follows the Exempt rule, so the customer shall not be charged VAT, except as otherwise set out in article (45) of the Cabinet Decision No. (52) of 2017 on the Executive Regulations of the Federal Decree-Law No (8) of 2017 on Value Added Tax
c. Complimentary services. If a complimentary service is funded by the Hotel and is provided to the guest without any consideration, then it is not taxable. Please refer to article (28) of the Cabinet Decision No. (52) of 2017 on the Executive Regulations of the Federal Decree-Law No (8) of 2017 on Value Added Tax
d. No show and cancelled bookings.are taxable so long as funds have been received by the hotel.
e. House Use (Rooms used by hotel staff for free). VAT on house-use depends on the details of the nature of accommodation provided. Please refer to article (53) of the Cabinet Decision No. (52) of 2017 on the Executive Regulations of the Federal Decree-Law No (8) of 2017 on Value Added Tax
f. Rebate/discount.The price of goods and services may be reduced by the value of the discount and then VAT will be applied to the post discount rate. Please refer to article (28) of the Cabinet Decision No. (52) of 2017 on the Executive Regulations of the Federal Decree-Law No (8) of 2017 on Value Added Tax
g. Redemption of Loyalty points /Rewards.This is typically taxable but dependent on the nature of the loyalty program, whether the reward points have been purchased or granted for no consideration.
h. Sales Offers for Free night stays (e.g. Pay for 2 nights stay for 3). The price of goods and services may be reduced by the value of the discount. Please refer to article (28) of the Cabinet Decision No. (52) of 2017 on the Executive Regulations of the Federal Decree-Law No (8) of 2017 on Value Added Tax
i. Reservations from Government entities.Taxable.
j. Barter agreement. Taxable at the market value of the goods or services. Please refer to article (25) of the Cabinet Decision No. (52) of 2017 on the Executive Regulations of the Federal Decree-Law No (8) of 2017 on Value Added Tax.
k. Outsourced staff/ Shared services.Taxable.
l. FOC Items (Free of Charge). Similar treatment as rebates, discounts and complimentary. Depends on the nature of the FOC and how it has been granted. Please refer to article (28) of the Cabinet Decision No. (52) of 2017 on the Executive Regulations of the Federal Decree-Law No (8) of 2017 on Value Added Tax
m. Incentives/Commission to third party (Local and overseas).Taxable.
n. Security Services/ Valet/Contract staff. Taxable.
o. Housekeeping / Engineering/Catering services to the leased outlets inside the hotels. Taxable.

6. Q: Is VAT applicable on advance payments immediately or at the time the service is availed?

A: VAT will be applicable on advance payments immediately. As an exception, VAT on advance payments received in 2017 for 2018 bookings will be payable in 2018. Please refer to article (25&26) of the Federal Decree-Law No. (8) of 2017 on Value Added Tax

7. Q: Is VAT applicable on refundable deposits?

A: If a deposit is completely refundable, it is not subject to VAT. If there is any administration fee included in the refund, the administration fee is taxable.

8. Q: Is VAT applicable on MICE businesses?

A: MICE businesses are subject to VAT, however a refund scheme for foreign businesses is detailed at article (67) of the Cabinet Decision No. (52) of 2017 on the Executive Regulations of the Federal Decree-Law No (8) of 2017 on Value Added Tax

9. Q: Implication of VAT on 1St January 2018 for Hotel

On New Year's Eve 31-Dec-2017, hotels will be operating beyond midnight and as such bills will be produced during early hours of 1-Jan-2018. Are these charges subject to VAT?

A: VAT shall be applicable at the earlier of:

a.The time of opening of the business on 1 January 2018.

b.7AM on 1 January 2018.

10. Q: Is VAT applicable on long term leases? In light of residential leases being exempt from VAT, how are hotel leases going to be treated?

A: Stays in hotels are taxable irrespective of length of stay

11. Q: In cases when goods and services are supplied on a daily basis, but invoicing is done on a quarterly basis, when is VAT recorded? At the time of issuing the invoice or monthly?

A: At the time of issuing the invoice. Please refer to article (25&26) of the Federal Decree-Law No (8) of 2017 on Value Added Tax.

12. Q: Is it mandatory to mention the VAT registration number on the invoices/pro-forma/quotation?

A: Tax Registration Number has to be mentioned on invoices for all registrants.

Q: Integration of VAT software with Hotel PMS & Back office

As per the VAT regulations every establishment has to purchase the VAT software approved by the FTA and to be linked with back office (accounting software). As the Hotels are using two systems (E.g Opera(Front office) & Sun system (Back office),In this case which one to be linked (Opera shows full transactions and the back office shows the summary).

A: DTCM will update the industry as soon as further information has been in relation to the software integration.

13. Q: Clarity on payment cycle & method, as well as list of violations.

A: Payment cycle is dependent on Tax periods which are allocated to each entity as per its turnover. Method payment shall be electronic. Administrative penalties are listed in the Cabinet Decision no. 40 of 2017 on www.tax.Government.ae

Tables of Violations and Administrative Penalties
Appendix to the Cabinet Decision No. (40) Of 2017

Table (1): Violations and Administrative Penalties related to the Implementation of the Federal Law
No. (7) of 2017 on Tax Procedures Administrative Penalty (AED) Description of Violation
Description of Violation Administrative Penalty (AED)
1 The failure of the person conducting Business to keep the required records and other information specified in Tax Procedures Law and the Tax Law (10,000) for the first time. (50,000) in case of repetition.
2 The failure of the person conducting Business to submit the data, records and documents related to Tax in Arabic to the Authority when requested. (20,000)
3 The failure of the Taxable Person to submit a registration application within the timeframe specified in the Tax Law. (20,000)
4 The failure of the Registrant to submit a deregistration application within the timeframe specified in the Tax Law (10,000)
5 The failure of the Registrant to inform the Authority of any circumstance that requires the amendment of the information pertaining to his tax record kept by Authority. (5,000) for the first time.
(15,000) in case of repetition
6 The failure of the person appointed as a Legal Representative for the Taxable Person to inform the Authority of his appointment within the specified timeframe. The penalties will be due from the Legal Representative's own funds. (20,000)
7 The failure of the person appointed as a Legal Representative for the Taxable Person to file a Tax Return within the specified timeframe. The penalties will be due from the Legal Representative's own funds. (1,000) for the first time.
(2,000) in case of repetition within (24) months.
8 The failure of the Registrant to submit the Tax Return within the timeframe specified in the Tax Law. (1,000) for the first time.
(2,000) in case of repetition within (24) months.
9 The failure of the Taxable Person to settle the Payable Tax stated in the submitted Tax Return or Tax Assessment he was notified of, within the timeframe specified in the Tax Law. The Taxable Person shall be obligated to pay a late payment penalty consisting of:
- (2%) of the unpaid tax is due immediately once the payment of Payable Tax is late;
- (4%) is due on the seventh day following the deadline for payment, on the amount of tax which is still unpaid.
- (1%) daily penalty charged on any amount that is still unpaid one calendar month following the deadline for payment with upper ceiling of (300%).
10 The submittal of an incorrect Tax Return by the Registrant. Two penalties are applied:
1. Fixed penalty of:(3,000) for the first time.(5,000) in case of repetition

2. Percentage based penalty shall be applied on the amount unpaid to the Authority due to the error and resulting in a tax benefit as follows:

- (50%) if the Registrant does not make a voluntary disclosure or he made the voluntary disclosure after being notified of the tax audit and the Authority has started the tax audit process, or after being asked for information relating to the tax audit, whichever takes place first.

- (30%) if the Registrant makes the voluntary disclosure after being notified of the tax audit and before the Authority starts the tax audit.

- (5%) if the Registrant makes a voluntary disclosure before being notified of the tax audit by the Authority.
11 The Voluntary Disclosure by the Person/Taxpayer of errors in the Tax Return, Tax Assessment or Refund Application pursuant to Article 10 (1) and (2) of the Tax Procedures Law. Two penalties are applied:
1. Fixed penalty of: (3,000) for the first time.(5,000) in case of repetition

2. Percentage based penalty shall be applied on the amount unpaid to the Authority due to the error and resulting in a tax benefit as follows:

- (50%) if the Person/Taxpayer makes a voluntary disclosure after being notified of the tax audit and the Authority starting the tax audit or after being asked for information relating to the tax audit, whichever takes place first.

- (30%) if the Person/Taxpayer makes the voluntary disclosure after being notified of the tax audit but before the start of the tax audit

- (5%) if the Person/Taxpayer makes voluntary disclosure before being notified of the tax audit by the Authority.
12 The failure of the Taxable Person to voluntarily disclose errors in the Tax Return, Tax Assessment or Refund Application pursuant to Article 10 (1) and (2) of this the Tax Procedures Law before being notified that he will be subject to a Tax Audit Two penalties are applied:
1. Fixed penalty of:(3,000) for the first time.(5,000) in case of repetition
2. (50%) of the amount unpaid to the Authority due to the error resulting in a tax benefit for the Person/Taxpayer.
13 The failure of the Person conducting Business to facilitate the work of the Tax Auditor in violation of the provisions of Article (21) of the Tax Procedures Law. (20,000)
14 The failure of the Registrant to calculate Tax on behalf of another Person when the registered Taxable Person is obligated to do so under the Tax Law. The Registrant shall be obligated to pay a late payment penalty consisting of:
- (2%) of the unpaid tax is due immediately once the payment of Payable Tax is late;

- (4%) is due on the seventh day following the deadline for payment, on the amount of tax which is still unpaid.

- (1%) daily penalty charged on any amount that is still unpaid one calendar month following the deadline for payment with upper ceiling of (300%).
15 A Person not accounting for any tax that may be due on import of goods as required under the Tax Law. (50%) of unpaid or undeclared tax.
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Download PDF Explore Singapore

Explore Singapore

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Duration :4 Nights & 5 Days
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ITINERARY
Day1

Singapore Airport Pick Up

At Rayna Tours, we bring you premium solutions to accommodate all your airport transfer needs. Once you provide all relevant details and pre-book our airport pick-up services, print the voucher and keep it ready to present it to your driver, who will be waiting for you as you arrive at Changi Airport. Get assistance with your luggage and then hop into your vehicle to be driven to your Singapore hotel or accommodation in the most relaxed and tension-free manner. Regardless of the requirements or size of your group, we’ve the most ideal vehicle that matches your preferences.

Day2

Singapore City Tour with Guide & Night Safari Singapore


In about four hours, our well-crafted city tour will introduce you to several amazing places of interest in Singapore. See attractions including Fountain of Wealth, Orchard Road, and Raffles Place. A stopover at the iconic Merlion Park not only allows you to appreciate the beauty of the statue of mythical creature (Merlion), but also provides you with the astounding views of Marina Bay Sands and Singapore Flyer. Also, discover the intriguing history and culture of the region, with a visit to some of its vibrant regions including Chinatown and Little India. 


Night Safari is a remarkable attraction to see a wide array of nocturnal animals in their natural setting. It shelters 2500 plus animals in its 35 hectares of land. Utilize our Night Safari tour with round-trip transfers to explore its several unique segments, which interestingly represent the habitats of our planet’s seven amazing geographical zones, encompassing Indo-Malayan area, Asian Riverine Forest, Nepalese River Valley, Indian Subcontinent, Burmese Hillside, Himalayan Foothills, and Equatorial Africa. A visit to this night zoo also gives you the chance to watch Thumbuakar Performance and Creatures of the Night show. You can further upgrade your trip with an optional buffet dinner. 

Day3

Half Day Sentosa Island Tour

Take a half day tour with Rayna Tours to delight in the attractions of Singapore’s highly famed island getaway, Sentosa. You’ll have a chance to enjoy one-way Singapore Cable Car ride and appreciate the marvelous beauty surrounding the region. Visit Madame Tussauds, and also watch fascinating shows including Images of Singapore LIVE as well as Wings of Time on this approximately eight hours tour.

Day4

Universal Studios Singapore

Get entry to one of the Southeast Asia’s most popular theme parks, with our convenient and flexible Singapore Universal Studios tour. You can indulge in endless fun, adventure and entertainment in this massive 50-acre park. After all, our ticket provides convenient access to all thrilling rides, unique attractions, and fun filled games spread over its seven distinct movie themed zones, such as Hollywood, New York, Madagascar, Ancient Egypt, The Lost World, Sci-Fi City, Far Away, and Madagascar. 

Day5

Singapore Airport Drop off

Our convenient airport drop-off lets you finish your Singapore holidays on an absolute hassle-free note. At the pre-designated time and spot (as per the booking), our polite driver will meet you to directly transfer you to Changi Singapore Airport. You can rely on our exceptionally knowledgeable and experienced drivers, as they ensure that you’ll reach the airport with ample time left for the departure flight. All of our vehicles are kept up in pristine order means you can be further assured of a comfortable ride from your Singapore location to Changi Airport.

WHAT IS IT ALL ABOUT
Explore Singapore

Explore Singapore is one of the brand-new additions to Rayna Tours’ extensive collection of holiday packages. A super-slick destination, Singapore offers the best of all: modernity, culture, history, and unparalleled scenic beauty. So whatever you expect from your vacation - be it sightseeing, action or even exotic experience, this five-day package has something to excite all members in your family or group.

With a guided city tour, discover the region’s main highlights such as the iconic Merlion Park, Fountain of Wealth, Suntec City, Little India etc. You’ll further set out for a thrilling wildlife adventure on your Singapore holiday, thanks to Night Safari where you’ll come across thousands of nocturnal animals carefully protected in their natural habitat. Now if fun-packed leisure and adventure is more your thing, you’ll definitely enjoy taking a trip down Sentosa Island as well as Universal Studios – a movie-based theme park with seven incredible zones.

Contact our team and see what makes us the experts when it comes to crafting a flawlessly bespoke holiday. 

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ADDITIONAL INFO
  • Why should I make a booking with Rayna Tours?
Rayna Tours and Travel is a professional destination management company with more than a decade’s experience in the industry. But that’s not alone the reason which makes us a sought after choice for all kinds of travel services. Find below more: 
  1. An ISO certified company 
  2. The proud winner the Certificate of Excellence Award from TripAdvisor 
  3. Easy booking via user-friendly online booking portal, exclusive Mobile App, or even by telephone or email 
  4. Highly secured and flexible payment options 
  5. No hidden fee
  6. Professional work team with exceptional product and service knowledge 
  7. Personalized services according to your budget and preferences
  8. Physical presence in major touristic destinations 
  9. Most of our tour products and travel services are accompanied by Best Price Guarantee
  10. Availability of a dedicated client support system on 24/7 basis

  • How can I make the Payment on your Website & is it Secure?
You can make the payment online using a valid Debit Card or Credit Card. With all payments being processed on a highly advanced and protected payment gateway, we guarantee you utmost safety in terms of money transactions.  

  • When will I receive the voucher after the payment is done? 
As soon as your booking is confirmed and the payment is done, we’ll issue a voucher immediately and send it to you through email. 

  • Will I get a reference number for my booking? 
You’ll get a unique Booking Reference Number, which can be easily located in your booking voucher. Your Booking Reference Number typically begins with RT, followed by the reference number.  

  • For tours inclusive of transfers, do you offer Pick up Service from any place? 
We offer roundtrip transport for all tours inclusive of transfers. Pick up and drop off is mainly provided from centrally located hotels in City Center Areas in the particular City where the Tour is conducted from.

  • Do you provide tickets attractions in the Country?
Yes, we do offer flexible passes and tickets if its listed on our website.The Tickets depend in the form of eVoucher or an Hard copy as per the guidelines of these Attractions. 

  • Can I produce an eVoucher at the time of my Tour?
Yes, you may produce an eVoucher at the time of your tour. However, it’s mandatory to carry a hard copy of the ticket or voucher when you visit a theme park or a popular landmark in the country. Without a valid voucher or ticket, your entry may be sometimes restricted. It is equally vital to ensure that you bring all relevant documents by way of ID proof (as required) for your tour. 

  • How long will it take for the refund of my cancelled tour?
This largely depends on the cancellation policies of your tour. However some Tours are governed by Third Party Contracts and are liable as per third party policies. Normally it may take 7 working days.

  • Is it possible for me to change or postpone the travel date once the booking is done? 
Yes, it’s possible to make amendments in your travel arrangements. But make sure that you send us an amendment request and get it confirmed well in advance of your travel date. Also, please be informed that amendments will be accepted only in accordance with the respective tour’s terms and conditions. 

  • Can I book multiple tours at a time?
Yes, our easy to navigate website offers the flexibility to book multiple tours at a time online. Create the first tour by visiting the respective tour page and clicking ‘Book Now’. You’ll be redirected to ‘Review Order’ page, where you can use ‘Continue Shopping’ option to return to the tour listing page and make further selection of tours. Repeat the same procedure until you’ve made all tour choices. Now click ‘Proceed to Checkout’ to add pertinent details and subsequently make payment.

  • Do you offer a selection of Hotels on your Website for Packages?
Yes,we do offer the selection of Hotels on our Website.You get multiple options for the Hotel selection according to the Star category. All you need to do is you just need to select an option of Hotel according to your requirement.

  • Should I reconfirm my booking before the travel date? 
No reconfirmation of booking is required. Nevertheless, the booking of certain tours is subject to availability. In such a case, our Sales Representative will send you an email, clearly detailing the entire options about the tour availability, and book the tour or tickets according to your convenience. 

  • Despite scrolling down your tour listing page, I am not able to locate my preferred tour activity. What should I do? 
Use the convenient tour filter options seen on the tour listing page to easily narrow down your search by tour type, name or even price range. You can also make your search more specific by directly entering the name of your preferred tour activity in the given field on the listing page’s left hand side and then clicking the search icon. 

  • Upon making the reservation and payment, how will I confirm whether or not it has been received by Rayna Tours? 
As soon as we receive your payment, we’ll send you a booking voucher via email.  

  • How can I share my experience with you?
Simply follow this link to rate us or give a feedback of your experience with us. We’d be delighted to hear from you and improve our services accordingly. 
USEFUL INFORMATION
  • Pricing, itinerary and inclusions of tours are subject to change without any prior notice. 
  • Extra charge applies for features not covered in inclusions. 
  • Based on your request, we can arrange private transport for all tours. 
  • Meals are not included in our tour packages, but we can arrange it for you at an extra cost.
  • Our team should not be held responsible for any loss / damage of belongings (wallet, expensive camera, smart phone etc.) or personal injury that may occur to you during a tour with us.
  • Kids under 12 years must be joined by a responsible adult, especially while indulging in adventurous ad water activities.
  • Unless otherwise specified at the time of tour reservation, strollers are not permitted inside the vehicle.
  • Depending on location, traffic conditions and such other aspects, there will be slight variations in pick-up and drop off timings.
  • Singapore has a warm and humid climate throughout the year. But the months of December and January are relatively cooler, thanks to the monsoon season. Moreover, the weather can be unpredictable; so be sure to carry an umbrella in order to tackle all-of-a-sudden rainstorms and drizzles.
  • Loose, comfortable clothing is recommended, regardless of the time of your Singapore visit. Pair it with a cardigan or a shawl when you’re indoors, particularly within air-conditioned malls and entertainment areas with a freezing temperature.
  • Since your Singapore vacation may involve a lot of walking, it’s good to have a pair of comfy shoes.
  • The city-state’s sunny climate also entails you to bring a good pair of sun glasses, besides a high SPF sunscreen to protect your skin from the unforgiving UVB rays.
  • Smoking in public places is a serious offense in Singapore.
  • Don’t litter public places.
  • Chewing gums is another illegal act in the city-state.
  • Prior to making a tour booking, be sure to carefully read and understand our policies, inclusions and general information, as your payment on a tour denotes the acceptance of terms and conditions describing the package(s).  
  • Terms and conditions apply for all discount promotions and deals. Contact our representative for more details on a tour promotion.  
TERMS & CONDITIONS
  • We reserve the complete right to reschedule an itinerary or route, adjust pricing, or even cancel a tour whenever, at our sole discretion, mainly if we deem it is vital for your safety or convenience. 
  • Unused inclusion in a tour package is non-refundable. 
  • Any guest failing to reach on time at the designated pick-up point will be considered a no-show. No reimbursement or alternative transfer will be arranged in such circumstances.
  • Should a tour booking be cancelled or altered for reasons of bad weather, vehicle issue or traffic problems, we will make all sincere efforts to arrange alternative service with similar options, however, based on its availability.  
  • The arrangement of seating will depend on its availability and will be done by our driver or tour guides.
  • Pick-up and drop-off timings listed on the website are approximate, and they will be adjusted as per your location as well as traffic conditions.  
  • Coupon Codes can be redeemed only through online booking process.
  • We reserve the right to charge 100% No Show charges if guests do not turn up on time for the pick-up.
  • In any case the guest does not show up on time and our vehicle departs from the pickup location, then we will not arrange for alternative transfer & no refund is provided for the missed tour.
  • Seating arrangement is done as per the availability & it is decided by the Driver or Tour Guide except in case of private transfers.
INCLUDES

Duration:
Hotel

to
Room
, Night
 
Tour
Day :
Transfer Option :
Date:
Time:
Adult , Child , Infant
 
Visa
Processing Type: , No. Of Visa:
 
Meal
Meal Type: , Date:  Adult , Child , Infant
 
Grand Total
 
Best Price Guarantee
For  Adult,  Child

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Customer Care / Bookings / Enquiries

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