GST is charged on traveling depending upon the mode of transport that has been used by the person
Traveling is perpetually on our mind and given the current situation caused due to the pandemic coronavirus, our movements have been restricted. However, if given an opportunity to travel safely, we will be happily grab it. In India, travel is majorly done by four modes of travel – railways, airways, seaway and roadways. GST is applicable on all these four modes of travel. The detailed bifurcation is as follows:
i) GST on travel through Railways:
Particulars | GST Rate |
AC and First-Class train tickets | 18% |
Sleeper and general class tickets | 0% |
Metro train tickets | 0% |
ii) GST on travel through Airways:
Particulars | GST Rate |
Economy class air tickets | 5% |
Tickets of chartered flights for the purpose of a pilgrimage visit | 5% |
Business class air tickets | 12% |
Rental services of aircraft and chartered flights with or without operator | 18% |
NOTE:
– If you’re traveling for business purposes, then you can claim Input Tax Credit on goods and services tax of air tickets
– Airlines, in case of economy class air tickets, can claim Input Tax Credit on services.
– Airlines, in case of business class air tickets, can claim Input Tax Credit on food items, spare parts and other inputs apart from fuel.
iii) GST on travel through Roadways:
Particulars | GST Rate |
Passengers travelling through public transport | 0% |
Transport by road of passengers through metered taxi/auto rikshaw or e-rikshaw | 0% |
Transport by Non-AC contract carriage or stagecoach | 0% |
Transport by air-conditioned contract carriage or stagecoach | 5% |
Transport by radio taxi and similar transportation services | 5% |
Rental services of road transportation including cars, buses, coaches | 18% |
iv) GST on travel through Seaways:
Mode of Travel | GST Rates |
Inland Waterways | Exempted |
Vessel used for Public Transport | Exempted |
Vessel used for Tourism | 5% |
Apart from this four mode of travel, there is another mode of travel – Travel by Ropeway/Cable, which is though not a popular mode of transport in India but the following GST rate is applicable: Mode of Travel GST Rate Travel by Ropeway/Cable 5%
Please note that the above goods and services tax rates are only indicative and are subject to change as and when Government amends these rates.
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