GST on flight tickets is 5% for economy class, and 18% for premium economy, business and first class, under SAC 996425 for air transport of passengers. Before the reform, the non-economy rate was 12%, so premium seats became costlier in tax terms while economy stayed at 5%.
Fees charged by agents and airlines, such as booking fees, convenience fees and seat selection, are 18%. This page explains the rates, a ticket example, airport charges and credit for business travel. Other travel is on the tour and travels page.
Air travel: codes and GST rates
Item / SAC / GST- Economy class air tickets5%Credit of input services in the same line
- Premium economy, business and first class18%Was 12% before the reform
- Travel agent booking fee18%SAC 998551
- Airline convenience fee18%Service charge
- Seat selection and extra baggage fees18%Ancillary services
- Regional connectivity scheme flights5%Check the specific entry for the route
- Domestic air cargo18%Goods transport
Quick facts
SAC
996425: air transport of passengersEconomy class
5%Other classes
18% (was 12%)Agent fees
18%Digits to print
4 digits up to Rs 5 crore turnover, 6 aboveCredit for businesses
Available on business travel, subject to rules
Gst on flight tickets by class
| Item | GST |
|---|---|
| Economy class fare | 5% |
| Premium economy fare | 18% |
| Business and first class fare | 18% |
| Seat selection, meals, extra baggage | 18% |
| Airline convenience fee | 18% |
| Travel agent service fee | 18% |
| Cancellation charges | Same as the fare's rate in many cases |
Ticket example
Economy ticket within India: base fare and fuel charges Rs 6,000. GST 5% Rs 300 (CGST Rs 150 and SGST Rs 150, or IGST Rs 300 depending on place of supply). Seat selection fee Rs 400, GST 18% Rs 72. Airport charges collected as per their own rules. Total depends on the airport fees.
Flight ticket gst rate after the reform
Economy fares stayed at 5% in the reform. Premium economy, business and first class fares moved from 12% to 18%. A business class fare of Rs 40,000 now carries Rs 7,200 GST instead of Rs 4,800. Airlines selling bundled fares with meals and seats in economy still charge 5% on the bundled fare if it is one economy ticket, but separate add-ons bought later are 18%.
Air ticket gst rate on international flights
For international flights starting in India, GST applies on the fare at the same class based rates. Flights from outside India into India are generally not taxed in India for the passenger. Taxes and fees of other countries shown on a ticket are not GST. Cargo flown by air is a separate service; domestic air cargo is 18%.
Airport charges and fees
Airport user development fees and other airport charges shown on a ticket follow their own treatment and are not the fare. GST on the fare applies to the base fare and fuel surcharge. Read the ticket breakdown to see which lines carry which tax.
Travel agent booking fees
A travel agent who books tickets and charges a service fee supplies a reservation service under SAC 998551 at 18%. Online travel portals charge convenience fees at 18%. The airline's fare GST is separate. See tour and travels.
Credit for business travel
Business trips by air give the company creditable GST, provided its GSTIN is entered while booking so the airline issues a tax invoice in the business's name. Credit is blocked for travel benefits extended to employees on vacation, such as leave travel. For the hotel side of the same trip, see hotel rooms; for courier and cargo by air, see courier charges.
Air fare rates on this page reflect the services notification as amended by 15/2025-Central Tax (Rate). Special routes and schemes have their own entries, so check the GST portal and ask a GST practitioner or chartered accountant about corporate travel credit.
Frequently asked questions
What is the GST on flight tickets?
5% for economy class and 18% for premium economy, business and first class.
What is the GST on business class tickets?
18% since the reform, up from 12%.
Is GST charged on airline convenience fees?
Yes, at 18%.
Can a business claim ITC on air tickets?
Yes, for business travel, if the GSTIN is given at booking. Leave travel benefits for employees are blocked.
Is GST charged on airport charges?
Airport charges follow their own treatment and are shown separately from the fare.