GST, termed as the biggest tax reform since independence, is set to get implemented from next month beginning. Over the last few weeks, a lot of people have worried over the change in essential items after GST is implemented.
Trains are one such essential thing, which are commonly used by a larger part of Indian population. After the GST implementation, sleeper class, unreserved tickets and general class tickets will not have any impact, however, people traveling in AC or first class trains will have to spend a bit more for their travel. Currently, the service tax on AC train tickets used to be 4.5%, which will become 5% after 1st July. GST council has kept train tickets in the lowest tax slab of 5%.
If a train ticket costs ₹100, after GST it will cost an additional ₹0.5, making the total as ₹100.5