Fares on international rail routes will not rise, State Railways Administration Ukrzaliznytsia has said.
According to the authority’s press service, in connection with the coming into force of an order of the Infrastructure Ministry dated Dec. 22, 2011 on amending tariffs for the transportation of passengers, baggage and cargo by rail on international routes, from Jan. 6, 2012 the tariffs on routes with the CIS and Baltic countries were increased by 20%.
At the same time, fares for passengers on international routes will remain unchanged as, according to the Tax Code, from the same date this type of transportation is taxed at a zero rate.
Previously the VAT on rail transportation on international routes was 20%.
For instance, comparing the cost of two tickets in a compartment of train No. 6 Kyiv-Moscow for the same date before the order’s coming into force, the total ticket price (excluding commission fee) amounted to Hr 931.94, and that after the order’s coming into force is Hr 928.32.
Ukrzaliznytsia notes that the decrease in fares is caused by the change in the Swiss franc to hryvnia exchange rate, which is, according to the order, the tariff currency.
