<h1>Railways Ready for GST Rollout; First Class and AC Coaches to See 5% Tax from July 1, 2017.</h1> The Ministry of Railways is prepared for the implementation of the Goods and Services Tax (GST) from July 1, 2017. Exemptions from GST include passengers in Second class, Metro, Sleeper Class, and the transportation of essential goods like agricultural produce, milk, and defense equipment. GST is set at 5% for First class and air-conditioned coaches, reflecting a slight increase from the previous service tax. The Ministry has undertaken significant system modifications to ensure compliance, including changes to ticketing and freight invoicing systems. Catering charges for standard meals and Rail Neer will remain unchanged. Detailed compliance instructions have been issued across the railway network.