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Home Government

GST Exemptions Granted for Railway Services and Student Hostels

Rajeshwari R by Rajeshwari R
June 22, 2024
in Government, India
Reading Time: 1 min read
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GST Exemptions Granted for Railway Services and Student Hostels

GST Exemptions Granted for Railway Services and Student Hostels

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New Delhi: The GST Council, chaired by Finance Minister Nirmala Sitharaman, announced on Saturday that services provided by Indian Railways will now be exempt from GST.

In a post-meeting media briefing, the Finance Minister outlined that purchases of railway tickets and payments for waiting room and cloakroom services will no longer be subject to GST. Additionally, services such as battery-operated vehicles and intra-railway services will also be exempt.

The Council decided to extend the GST exemption to charges for student hostels located outside educational institutions. This exemption will apply to hostels run by communities as well, with a condition that charges must not exceed Rs 20,000 per person per month and the student must reside in the hostel for a continuous period of at least 90 days. This measure aims to prevent hotels from exploiting the exemption.

Sitharaman clarified that hostels within educational institutions are already exempt from GST.

Tags: GSTNirmala Sitharaman

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