Gst on ticket cancellation

This discussion explores the applicability of GST on train ticket cancellations by railways. The prevailing view is that if a transaction isn't completed, GST should be refunded along with the ticket cost. However, if deductions are made, GST on the deducted amount may not be refundable. Cancellation is often seen as liquidated damages or compensation, not a charge for a supply, suggesting GST shouldn't apply. Despite this, the unclear tax position means railways currently charge GST on cancellations.