The Directorate General of Civil Aviation (DGCA) has issued revised Civil Aviation Requirements (CAR), Section 3 – Air Transport (Series ‘M’, Part II), laying down minimum standards for refund of airline tickets. The revised norms, dated February 24, 2026, will come into effect from March 26, 2026.

The updated regulations mandate that refunds for credit card payments must be processed within seven days, while cash refunds must be made immediately by the airline office concerned. In cases where tickets are booked through travel agents or online portals, the responsibility for refund will rest with the airline, which must complete the process within 14 working days.

Significantly, airlines are required to provide a 48-hour “look-in” option allowing passengers to cancel or amend bookings without additional charges, subject to specified conditions. The CAR also mandates refund of all statutory taxes and passenger service fees even where the basic fare is non-refundable, caps cancellation charges at the basic fare plus fuel surcharge, and prohibits airlines from defaulting to credit shells without the passenger’s consent.

The revised framework aims to safeguard passenger interests and bring greater transparency and accountability to airline refund policies operating to and from India.