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Thirteenth Finance commission(TFC) has proposed imposition of Goods and Service Tax (GST) on the 'service' of transport provided by IR. The recommendation may be accepted by the govenmrnt- and we may see a 'service tax' on railway fare and freight introduced in today's budget. This appears strange. Evidently, indirect taxes collected from corporates as per Finance Commision formulae are meant to be shared between Central and state governments for various developmental and other social puposes. The IR itself takes considerable pride and spends a fortune in following extra-corporate goals. We grant highly subsidised passenger fares with all sorts of concessions - for daily commuters,cancer patients,senior citizens,students, etc. Our investment strategy in rolling stock procurement(coaches and passenger locos instead of wagons and freight locos that will give far better return) and Line capacity ( Financially unviable but socially desireable lines)has a VAST component focussed towards our social/developmental responsibility. If IR is also to be taxed like a common corporate, should that not be taken as a cue to absolve IR completely of the so called social responsibility. That would mean we withdraw all uneconomic stoppages, freeze uneconomic works, shut down uneconomic lines, shed staff to suit our needs -in a nut shell run like a private limited company. Strangely the Thirteenth Finance Commision/ the state Goverments want to leave out certain sectors out of the ambit of GST: Health, Education, Petroleum, and (!) alchohol. Perhaps these sectors cater to  more noble needs of an Indian citizen than the need for affordable transport! Finally, Why doesnt the TFC recommend introducing a GST on the PMO,the ministry of home affairs,MEA, MOEF,etc- Like ministry of Railways, these departments area also offering but a 'service' to the nation!!!