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Services provided by Indian Railways, platform tickets exempted from GST

Another key announcement that the minister made is that now hostels which are for students but are not in educational institutions are also getting exempted.

Services provided by Indian Railways, platform tickets exempted from GST

Photo: Union Finance Minister Nirmala Sitharaman (X/@nsitharamanoffc)

Services provided by the Indian Railways to common man, sale of platform tickets, facility of retiring rooms and waiting rooms, battery operated car services are being exempted from GST, Union Finance Minister Nirmala Sitharaman said while addressing a press conference after 53rd GST Council meeting on Saturday. Further, intra-railway supplies are also being exempted.

Another key announcement that the minister made is that now hostels which are for students but are not in educational institutions are also getting exempted.

The Minister said that the service by way of hostel accommodation is presently not exempted, which are provided to students if they are outside of educational institutions. If they are within the educational institutions, then they are already exempted. Hostels which are for students which are within an educational institution are already exempted.

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The Finance Minister further said: “The Council recommended to prescribe a uniform rate of 12 per cent on all milk cans meaning steel, iron, aluminium which are irrespective of the use. They are called milk cans but wherever they are used that will be the rate applicable so that no disputes arise out of it.

The Council also recommended a prescribed uniform GST rate of 12 per cent on all carton boxes and cases of both corrugated and non-corrugated paper or paper board. This will in particular help the apple growers of Himachal Pradesh, J&K.

The Council also clarified and recommended that the clarification be put out that all types of sprinklers including fire water sprinklers will attract 12 per cent GST.

She said that the government is working towards new compliance, assuring GST assessees. The FM said that 1.96 per cent of all active tax assessees have been sent tax notices from central gst till Dec 31, 2014. Only 114939 have received tax notices from Central GST.

She also said that there will be roll out of biometric authentication pan-India to check fake invoicing in a phased manner, says FM Nirmala Sitharaman.

On petrol and diesel, the Finance Minister said that the intent of Centre is clear to bring petrol, diesel under GST, no amendment needed for it.

States need to come on board and decide the gst rate on fuel. GOM on rate rationalisation to give a presentation in August GST Council meeting, she said.

The GST Council also recommended a uniform rate of 5% IGST to imports of ‘Parts, components, testing equipment, tools and tool-kits of aircrafts, irrespective of their HS classification to provide a fillip to MRO activities subject to specified conditions.

According to the statement released by the Ministry of Finance, all solar cookers whether single or dual energy source, will attract 12% GST.

Also, to amend existing entries covering Poultry keeping Machinery attracting 12 per cent GST to specifically incorporate “parts of Poultry keeping Machinery” and to regularise past practice on ‘as is where is’ basis in view of genuine interpretational issues.

To clarify that all types of sprinklers including fire water sprinklers will attract 12 per cent GST and to regularise the past practice on ‘as is where is’ basis in view of genuine interpretational issues.

The meeting was also attended by Union Minister of State for Finance Pankaj Chaudhary, Chief Ministers of Goa and Meghalaya; Deputy Chief Ministers of Bihar, Haryana, Madhya Pradesh, and Odisha; besides Finance Ministers of States and UTs (with legislature) and senior officers of the Ministry of Finance and States/UTs.

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