5% Discount for Digital Payment of Catering Services on Indian Railways
GOVERNMENT OF INDIA
MINISTRY OF RAILWAYS
No. 2016/TG-III/631 /4
New Delhi, Dated: 21.04.2017
The General Manager,
All Indian Railways.
The Chairman and Managing Director,
IRCTC, Bank of Baroda Building, New Delhi.
Belapur bhawan, Navi Mumbai.
(Commercial Circular No.27 of 2017)
Sub: Promotion of Digital and Cashless Transaction- Provision of 5% discount for digital payment of catering services on IR.
The issue of promotion of digital and cashless transaction and payment of catering related services on IR through digital means has been examined in Board’s office in consultation with Finance Directorate of Railway Board and it has been decided that an instant discount of 5% for payment of paid catering services on IR (i.e. Mail/Express trains and other static units where catering services are provided on option and payment basis only) shall be granted only in case the payments are made through digital means. Accordingly, following guidelines are issued:
1. Modalities for provision of instant discount at the point of sale :-
i. A discount of 5% may be provided to only those passengers/customers adopting digital means (i.e. debit/credit card) of transaction instantly at the point of sale i.e the respective catering (Mobile & Static) unit where sale of catering items is permitted by railways.
ii. For this purpose, a computerised bill shall necessarily be generated in duplicate clearly indicating the total chargeable amount including price of the catering item – (minus) amount of 5% on the selling price + (plus) amount of taxes, if any.
iii. A copy of bill shall be handed over to the passenger/customer and another copy shall be retained by the bill issuer i.e. the catering service provider for presenting the same on monthly basis before the railway administration for reimbursement.
iv. The concerned Commercial Inspector shall be responsible for verification and certification of bills and authentication of the consolidated amount of discount on monthly basis by tallying the computerised bill with the bank proposed to given to the passengers for promoting digital transaction, and it will be part of TIA check.
v. On receipt of the certified and authenticated copy of statement showing details of total amount will be processed by railway administration for reimbursement to the concerned service provider by railways. Associate Finance of the Zonal Railways shall prepare and furnish monthly report (MIS) with details of discount disbursed to T&C Directorate, Railway Board, so that as and when Ministry of Railways approaches MoF for reimbursement of the amount, necessary information is available.
vi. This system shall be put in place initially for a period upto 30th June 2017 so as to ensure that payment through digital means is widely accepted and it becomes an established norm for payment of catering related services on railways. Further continuance of this scheme shall be subject to approval of the Board.
The other modalities and processes of cashless transactions for catering related services on IR may be the same as in case of digital transaction services presently being provided by other merchants. Clearing and settlement of the above transaction may be done as per the extant rules and guidelines issued from time to time by Government of India and RBI. The same should be followed by both the parties.
This issues with the concurrence of Finance Directorate of Ministry of Railways.
Kindly acknowledged the Receipt of this letter.
Director (Tourism & Catering)
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