Indian Railways Update: New rules for ticket cancellation and refund policy effective from April 2026
Indian Railways has announced a major update to its ticketing and refund system under the Reform Express initiative. Union Minister for Railways Ashwini Vaishnaw stated that these changes will be implemented in phases between April 1 and April 15, 2026. The new system aims to simplify the process for genuine passengers while reducing ticket hoarding by touts and curbing misuse of the booking system.
What are the new cancellation charges and timelines
The revised policy for confirmed tickets includes stricter timelines and increased deductions for late cancellations. Under the new rules, the amount of refund a passenger receives will depend on how early they cancel their journey. These changes are designed to discourage last-minute speculative bookings and ensure more seats are available for travelers who need them.
| Cancellation Timeline | Refund Deduction Amount |
|---|---|
| More than 72 hours before departure | Flat cancellation charge only |
| Between 72 hours and 24 hours before departure | 25% deduction of the fare |
| Between 24 hours and 8 hours before departure | 50% deduction of the fare |
| Less than 8 hours before departure | No refund will be issued |
Major changes for E-tickets and counter bookings
One of the most significant updates is the removal of the Ticket Deposit Receipt (TDR) requirement for E-tickets. The system has been made fully automatic, meaning E-ticket holders will receive their refunds directly without any manual action. For passengers with counter tickets, the previous restriction has been removed, and they can now cancel their tickets at any railway station across the country. Additionally, reservation charts will now be prepared 9 to 18 hours before the train departure, giving passengers more time to look for alternatives if their tickets are not confirmed.