A major good news from Indian Railways! Fares on premium trains like Rajdhani, Duronto and Shatabdi Express have been slashed. This reason behind the reduced fares is the reduction of tax rate charged on food items from 18% to 5%.
Ministry of Finance (Department of Revenue) in a circular issued on March 31, 2018, clarified that, “the applicable GST rate on supply of food and/or drinks by Indian Railways or IRCTC or their licensees, whether in trains or at platforms (static units)y will be 5% without Input Tax Credit (ITC)”.
The revised catering charges are:
For Rajdhani and Shatabdi Express
Morning tea at Rs.10
Breakfast at Rs.70
Lunch/dinner at Rs.120
Evening tea at Rs.45
Combo meal at Rs.70
For Duronto Express:
Morning tea at Rs.10
Breakfast at Rs.40
Lunch/dinner at Rs.75
Evening tea at Rs.20
Other food items and their prices:
1) Chicken biryani will cost Rs.89/plate. Earlier it was Rs.100
2) Egg biryani Rs.61/plate. Earlier it was Rs.69/plate
3) Medu vada Rs.19/plate. Earlier it was Rs.22/plate
4) Masala dosa Rs.18/plate. Earlier it was Rs.21/plate.
However, items like tea, coffee, Rail Neer, standard breakfast and economy meals will remain unchanged as these are GST exempt.
