A holiday is a special day for religious or cultural reasons - such as Christmas, Easter, New Year's Eve, and your country's Independence Day. Some holidays are also official days off from work, and others are not.
A vacation is when you take multiple days off from work/school to relax and/or travel. However, American English speakers call this a vacation and British English speakers call this a holiday:
My parents are on vacation in Asia. (American English)
My parents are on holiday in Asia. (British English)
This spectacular house is nestled into a narrow ravine that overlooks the Azure sea. That didn t stop them from sliding a sweet pool in over the massage sala (don t worry I had to Google it too it means open pavilion where you get awesome massages).