GST information

The Indian Government announced the implementation of the Goods and Service Tax Act (GST) effective from 1 July 2017. The GST will be a dual - administered tax between the Central Government and various states and Union Territories within India.

In the Aviation industry, a key change in the taxation of the “Travel of passenger by air” is the requirement of collecting business data for all B2B purchases (ticket issued for commercial travel of an employee of an organization).  In order to support our business partners and ensure all eligible customers purchasing tickets from “Qantas Airways” (QF) are able to claim GST credit, Qantas will require the following GST information at the time of booking:

• Name of Corporate GSTIN ID (GSTN)
  
• Business Address (GSTA)
• Finance Department Phone Number (GSTP)
• Finance Department E-Mail (GSTE)
• Finance Department Contact Person Name

1. Provided Qantas has received the above information by the business registered for GST prior to ticketing and a Qantas ticket has been paid and issued for travel which originates in India, Qantas will send a GST invoice to the business within 30 days of the date of ticket issuance regardless of the form of payment.
   
2. This invoice will include: A) The GST Number. B) Name and Address of the business entity registered for GST. (These will differ from the passenger's own name and address)
3. For B2B bookings made by an agent the GSTIN details will be updated on the reservation by the agent, before the tickets are issued. Please ensure the details are provided to the agent prior to ticket issuance.
4. For B2B bookings made on Qantas.com or any other web portal, passenger is required to contact Qantas office and provide all relevant GSTIN details as soon as the booking is made.

GSTIN details can be provided in the above format by emailing Qantas at gstindia@qantas.com.auOpens in a new tab or window

In the absence of providing the above information before tickets are issued, the ticket purchased will not qualify as a B2B transaction and therefore will not be eligible for GST credit.

1. What is GST?

The Indian Government has announced the implementation of the Goods and Service Tax Act (GST) effective from July 01, 2017. The GST will be a dual- administered tax between the Central Government and various states/ Union Territories within India, and will consist of several GST rates including IGST, SGST, CGST and UTGST.
The GST applies to airline products and services including tickets, ancillary, change, refund and other products and fees from 1 July 2017.  This will apply to all Qantas customers who book flights or purchase products or make change to bookings from  01 July, 2017 departing India.

2. What is the tax charged on each ticket?

The IGST rates for air transport were announced after the most recent GST council meeting on 18-19 May 2017. These are:

• 5% for air travel in Economy class, domestic and international.
• 12% for air travel in a Premium class, domestic and international.

3. Is GST charged in addition to the earlier Sales Tax and VAT etc.?

No. Previous Taxes JN, G1 and F2 tax codes will be withdrawn w. e. f 01 July, 2017 and instead a single interim ticket code “K3” will be used. The GST will be collected at point of sale and shown separately on the ticket by code K3.

4. This GST, will it be charged only on new tickets purchased effective 1July, 2017?

GST will be applicable on all ticket, ancillary or other purchases, re-issuances, refunds and changes effective 01 July 2017

5. Will GST be charged on ancillary products and services e.g. special Seat requests, payment by Frequent Flyer Points?

Yes. From 1 July 2017 GST will be charged for ancillary products and services based on the class of travel of the airfare ticket and is the same for transport in the relevant class.

• 5% for Economy class air travel.
• 12% in Premium Economy, Business or First Class travel.

6. Is GST charged on Change/Cancellation fees?

Yes. From 1 July 2017 GST will be charged for such services based on the class of travel and is the same for transport in the relevant class.

Change fees GST rates:

• 5% for Economy class air travel.
• 12% in Premium Economy, Business or First Class travel.

Cancellation Fee GST rates:

• 18% for cancellations in any class of travel.

7. As a traveler, what must I do?

If travelling for business purposes, certain data must mandatorily be sent to Qantas prior to your ticket issuance, if your organization is to claim a GST credit. This is not your personal data but data registered with the government by your organization.
Please see next question on details and dates by which we require data.
If travelling for leisure, you need not do anything.

8. As a passenger travelling for business (corporate traveler) and booking my own tickets on a Qantas.com OR other websites, what must I do?

As a corporate traveler, you must register the following information about your organization to Qantas at gstindia@qantas.com.au. All the fields must be filled in order for your organization to be eligible to claim a GST credit. This must be received by Qantas before the ticket is issued or Qantas will not be in a position to credit the amount to the business entity

• Name of Corporate GSTIN ID (GSTN)
  
• Business Address (GSTA)
• Finance Department Phone Number (GSTP)
• Finance Department E-Mail (GSTE)
• Finance Department Contact Person Name

9. With the introduction of GST on 1 July 2017, will this mean the taxes on my airfares and associated products and services have increased or decreased?

• Taxes charged are based on the class of travel.
• 5% for Economy class air travel (earlier was 6%)
• 12% in Premium Economy, Business or First Class travel (earlier was 9%)
• 18% for cancellation (earlier was 15%)
  

10. If Qantas does not receive the required GSTIN details prior to ticketing, what is the impact?

In the absence of providing the above information before tickets are issued, the ticket purchased will not qualify as a B2B transaction and therefore will not be eligible for GST credit.