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No service charge on online train ticket booking till June 30

By Vicky

In a bid to promote digital payments, the government has decided to withdraw service charges on booking of train tickets online. The withdrawal of service charge on online booking of train tickets has been extended to June 30.

No service charge on online train ticket booking till June 30

The ministry for information and technology had advised the railways to extend the incentive till June 30. The service charge on booking of train tickets through IRCTC ranges between Rs 20 and 40 per ticket. It may be recalled that the government had waived off the service charges after the announcement on demonetisation on November 8, 2016.

This was done with a view of encouraging digital mode of payments for booking of train tickets. The government's directive states that there will be no service charge until June 30.

Railways data suggests that an amount of around Rs 184 crore had not been realised from passengers on account of service charge and service tax thereon on reserved tickets booked online between November 23, 2016 and February 28, 2017.

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