Impact of GST on Railway Fare
GOVERNMENT OF INDIA
MINISTRY OF RAILWAYS
QUESTION NO 786
ANSWERED ON 21.07.2017
Impact of GST on railway fare
786 Shri Ram Nath Thakur Will the Minister of RAILWAYS be pleased to satate :-
(a) the impact of GST on railway fare;
(b) whether it has hiked railway AC fare too much;
(c) whether due to impact of GST, the present fare of every class has almost doubled in comparison to last few year; and
(d) the steps being taken to reduce its impact on common man?
ANSWER MINISTER OF STATE IN THE MINISTRY OF RAILWAYS (SHRI RAJEN GOHAIN)
(a) & (b) There is no impact of GST (Goods & Services Tax) on passenger fare of Sleeper and other non-AC classes (except First Class). The impact on Air-conditioned and First Class services is minimal as GST rate is five percent as compared to 4.5% Service Tax (including Cess) which was being levied.
(c) No, Sir.
d) There is no impact of GST on common man as it is not applicable on passengers of Second Class and Sleeper Class.