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| Circular number | Commercial Circular No. 05 of 2018 |
|---|---|
| File number | No. 2014/TG-1/23/PRS |
| Type | Commercial Circular |
| Topic | uts |
| Official PDF | indianrailways.gov.in |
Implementation of Goods and Services Tax (GST) on Yatri Ticket Suvidha Kendra (YTSK) ii, The service charges collected for booking a ticket through the YTSK licensee
GOVERNMENT OF INDIA
- MINISTRY OF RAILWAYS
(RAILWAY BOARD)
No. 2014/TG-1/23/PRS Terminal/Pt.2 New Delhi, Dated: |, .01 2018
Principal Chief Commercial Managers,
All Zonal Railways.
(Commercial-Circular no. 05 of 2018)~ .
Sub: Implementation of Goods and Services Tax (GST) on Yatri Ticket
Suvidha Kendra (YTSK).
Instructions stipulating the methodology for issuance of tickets through
YTSK under the current GST regime were issued vide this office letter of even
number dated 29.06.2017 (Commercial Circular no. 45 of 2017) ne
1.1 To further clarify this matter, collection of service charges, payment of tax
and issuing of tax invoice under the GST structure have been examined in
consultation with Accounts Directorate of the Ministry of Railways. The
clarification in this regard is as follows:-
i. As per Section 31(2) of the Central Goods and Service Tax Act, 2017 (“The
CGST Act”) read with Rule 54(4) of the CGST Rules, 2017, tax invoice
includes a ticket issued by a supplier of passenger transportation service
containing all the details (except the address of the recipient) as required
under Rule 46. This implies that “Ticket” issued by Indian Railways through
the YTSK Licensee, bearing the GST Identification Number (GSTIN) of IR
along with other required details, can be construed as tax invoice of IR.
ii, The service charges collected for booking a ticket through the YTSK licensee
form an integral part of the value of the transportation service provided by
oy IR to the passengers. The service charge will be subjected to the same tax
treatment as applicable to the underlying transportation service for which
the ticket is issued. .
iii. In case of tickets for non-AC classes, no GST is imposed, however,. YTKSs
are authorised to collect prescribed service charges on non-AC class tickets
also. Hence in this case since service charges will become part of the fare,
- GST shall not be imposed on the service charge component of non-AC class
tickets also.
iv. IR shares 25% of the service charges collected from both issuance and
cancellation of reserved tickets with the YTSK licensee. 100% share of the
service charges collected from issuance of unreserved tickets is retained by
the licensee. The said share is the consideration for the services provided by
the YTSK licensee to IR.
Vi.
vil.
3.
Railways.
Jt. Director Traffic Commercial (G) Joint Director({Accounts)
No. 2014/TG-1/23/PRS Terminal/Pt.2
Those YTSK licensees who are registered with GST, have to issue a GST tax
-compliant invoice on IR for the service charges ‘due to-him/her (75% or
-100% as the case may be) out. of thé sérvice: charges~callected from : the
passengers along with applicable GST, which at present is @ 18%. The
|
said GST will be collected and paid to the credit of the Government by the
YTSK licensee himself. In case YTSK agent is not registered with GST then
no GST shall be charged by him
At present, service charges due to YTSKs collected by the Railways are
adjusted in the payments to be made by them. Similarly in case of GST also
~ adjustments. canbe made, However, a statement.on this:aceount shall be
issued to. YTSK so as to make him aware of the amount of GST to be
deposited by him.
IR would be eligible to take~and-utilize-the-input tax-credit-{¥€)-of such
ST paid to the YTSK licensee
-. Necessary instructions may. be issued to all-concerned accordingly...
This issues with the ae 4 Accounts Directorate of the Ministry of
\ be ss
WE (ve ae ont
(Harvinder Singh) (V Prakash) (Pallavi L )
Railway Board - Railway Board Railway Board
New Delhi, Dated: | 6 01.2018
Copy forwarded to:
Copy to:
1. CCM/PMs and CCM/PSs, all Zonal Railways
2, EDV(T), EDFC, DVT, DF(C), PPS/FC, OSD/TC, F(C) & V(SS) branches of Railway Board
3. GGM/IT/IRCTC, B 148, 11th Floor, Statesman House, Barakhamba Road, New Delhi - 110001
-4. - Managing Director; CRIS, Chanakyapuri, New Delhi
me Director General, Professor/Training & Professor/Commercial Railway Staff Colleg
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