Railway catering services to attract only 5% GST

Government on Friday clarified that 5 per cent uniform rate of GST to apply in all railway catering services in trains or on stations.

In the absence of the clarifications, some vendors were charging 18 per cent GST at stations and inside trains.

In a statement, Finance Ministry said with a view to remove any doubt or uncertainty in the matter and bring uniformity in the rate of GST applicable to supply of food and drinks made available in trains, platforms or stations, it has been clarified with the approval of the competent authority that the GST rate on supply of food and drinks by the Indian Railways or Indian Railways Catering and Tourism Corporation Ltd or their licensees, whether in trains or at platforms (static units), will be 5 per cent without input tax credit.


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