Current Affairs

GST Cess Hike in Cars Takes Effect From Today

The GST Council on 9 September decided to hike cess on mid-sized cars by 2%, taking the effective GST rate to 45%. 
Cess on large cars has been hiked by 5%, taking the total GST incidence to 48% while that of SUVs by 7% to 50%.

Key Facts

  • The increased goods and services tax (GST) cess on mid- sized, luxury and SUV cars has come into effect from today.
  • Mid segment cars which earlier incurred a GST tax of 28% in addition to a cess of 15% to bring the total tax to 43%, will now incur a cess of 17% to bring the tax to 45%.
  • This is still 3% cheaper to the pre-GST taxation level which was at 48%.
  • The small and hybrid cars are exempted from any hike.
GST Cess Hike in Cars Takes Effect From Today GST Cess Hike in Cars Takes Effect From Today Reviewed by insiya yadav on September 11, 2017 Rating: 5

No comments: