Railway services, students’ hostels exempted from GST: Nirmala Sitharaman

New Delhi: The GST Council meeting chaired by Finance Minister Nirmala Sitharaman on Saturday decided to exempt services provided by Indian Railways from GST.

Addressing the media after the council meeting, the Finance Minister said the purchase of railway tickets and payments for waiting room and cloak room charges have been exempted from GST.

Similarly, no GST will be levied on services provided like battery-operated vehicles and intra-railway services. The Council has also decided to exempt GST on charges for hostels for students that are located outside educational institutions.  The exemption will be extended to hostels run by communities as well.

However, the condition will be that the upper limit of charges will be Rs 20,000 per person per month and the student must have stayed in the hostel for a continuous period of 90 days.

The condition has been introduced to prevent hotels from taking advantage of the exemption, she added. 

The Finance Minister clarified that hostels located within education institutions are already exempt from GST.  (IANS)

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