The GST is all set to roll out on July 1, will replace Service tax for all air conditioned and first class railway tickets.
However tickets booked before July 1 for journey starting on or after that date will not attract the tax and the difference in Service tax and GST will not be collected.
When the tickets booked on or after July 1st GST will be 5% of total fare says Railway board circular.
In case of tickets booked before July 1st and cancelled after the date , the entire amount along with Service tax will be refunded and only cancellation charge will be deducted, the circular said.
Incase of tickets booked after July 1st and cancelled , the entire amount, including GST charged will be refunded with a deduction of the cancellation charge, the circular said.
From July 1st, separate tickets will be issued for onward and return journey to implement GST guidelines.
However to implement GST guidelines the circular said journeys will be discontinued from July 1, the circular said.