Sanjha Morcha

Over 4% hike in upper class Rly fares from today

New Delhi, November 14
Railway fares for travel in the upper class categories will go up from tomorrow as a service tax levy of 14% and a Swachh Bharat cess of 0.5% become effective.

A Railway Ministry circular says fares will go up by 4.35% for First Class and all AC Classes from November 15. There was a notification by the government for imposing a Swachh Bharat cess on all taxable services on November 6.
“Service tax of 14% and Swachh Bharat cess of 0.5% are chargeable on 30% total passenger fare equivalent equivalent to 4.35% of the total fare on first class and all AC fares,” the circular said. However, the service tax will not be applicable for tickets issued before November 15. The levy will not be applicable for general and sleeper class travel. — PTI