GST on Flight booking services.

[Abishek M]

Services given of booking air tickets in economy class for flight between Mumbai to Manipur.

Is it taxable or exempted ?

Booking charges and transportation charges. 

Please reply. 

AI Summary

GST treatment of domestic economy air travel bookings and agent convenience fees upheld as taxable supplies, not exempt Air ticket booking services supplied for arranging economy-class air travel between Mumbai and Manipur are treated as taxable supplies of services under GST, and any booking or convenience fee charged by the agent is liable to GST at the applicable rate. The air transportation component is a separate supply by the airline and is not exempt merely because the travel is domestic; it remains taxable as passenger air transport, with GST applying as per the rate and input tax credit conditions relevant to economy-class passenger transport. The operative consequence is that GST is payable on booking charges, and GST on the fare is payable as applicable to the passenger transport supply.