Mumbai, June 30: From tomorrow, Mumbaikars might have to shell out a little more to travel first-class in local trains. After the Goods and Services Tax (GST) comes into effect from midnight tonight, the fares for first-class coaches of local trains are expected to go up marginally. This is because the currently applicable tax of 4.5 per cent will now become 5 per cent, after being replaced by the GST.
People travelling from Tejas Express will also have to spend more to travel in first class and all air-conditioned coaches. However, travel by second class coaches and general coaches is likely to cost the same, said a report by Hindustan Times. The report further said that a commuter who was till now paying Rs 700 monthly as train travel expenses, will now have to pay Rs 735 instead, after the application of GST on the ticket fare.
For an executive class seat in Tejas Express, if a traveler was paying Rs 2,740 and Rs 1,310 for an AC chair-car ticket, these fares will now increase to Rs ,877 and Rs 1,375, respectively, said HT. The highest increase in fare of Tejas Express will be Rs 137, while the minimum increase will be Rs 65. Other trains that will comes under the increased fare purview are Lokmanya Tilak Terminus (LTT)-Karmali Double Decker train, AC Superfast trains between LTT and Lucknow, Nagpur-Amritsar, Nagpur-Pune, as well as other special and all AC trains.
According to a directive issued by Indian Railways, all zonal railways have to implement GST for fares of executive-class, first-class and AC-class coaches. In order to help passengers and incentivise online payments, Indian Railways had announced that the IRCTC Service charge was being waived off on bookings of E-tickets and I-tickets from 23 November 2016 to 30 June 2017. This means that the waiver will not be effective from tomorrow, and the additional GST will also be applicable on the above mentioned train fares.