Service tax for online train ticket booking waived till 31 December

Service tax will not be levied on tickets booked through the IRCTC website from 23 November to 31 December


Rs20 is levied as service tax on Sleeper and Rs40 on AC classes for booking tickets through IRCTC. Photo: Indranil Bhoumik/Mint
Rs20 is levied as service tax on Sleeper and Rs40 on AC classes for booking tickets through IRCTC. Photo: Indranil Bhoumik/Mint

New Delhi: Train tickets booked through the IRCTC website will become cheaper from Wednesday till the end of the year as the government has waived service tax to encourage cashless transactions in the wake of the demonetisation exercise.

Service tax will not be levied on tickets booked through the IRCTC website from 23 November to 31 December, said a senior railway ministry official. Rs20 is levied as service tax on Sleeper and Rs40 on AC classes for booking tickets through IRCTC.

Service tax has been waived to incentivise cashless transactions through online booking, the official added.

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