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Service tax waived for online rail booking; tickets to be cheaper from Nov 23

November 22, 2016 23:02 IST

Service tax waived for online train ticket booking till Dec 31

Train tickets booked through the IRCTC website will become cheaper from Wednesday till the end of the year as the government has waived service tax to encourage cashless transactions in the wake of the demonetisation exercise.

Service tax will not be levied on tickets booked through the IRCTC website from November 23 to December 31, said a senior Railway ministry official.

Rs 20 is levied as service tax on Sleeper and Rs 40 on AC classes for booking tickets through IRCTC.

Service tax has been waived to incentivise cashless transactions through online booking, the official added.

Photograph: Rupak De Chowdhuri/Reuters

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