CarWale
    AD

    GST slabs announced, cars to be taxed at 28 per cent

    Authors Image

    Omkar Thakur

    55,606 Views
    GST slabs announced, cars to be taxed at 28 per cent

    The Government of India has announced four tax slabs under the proposed GST regime - 5 per cent, 12 per cent, 18 per cent and 28 per cent for all goods and services offered in the country. While the automotive industry hoped for a lower slab, the panel has decided to charge all cars under the 28 per cent tax slab. Luxury cars will also be charged 28 per cent GST and will attract additional cess along with green cess. The amount of these cesses have not been finalised as yet and should be announced soon. Also, the automotive industry will be looking closely at the definition of luxury cars which hasn’t been declared yet.

    Considering the existing tax structure, small cars attract an approximate taxation of 28 per cent on an average across the country and hence the overall prices might not change. As per the existing definition, cars measuring less than four metres in length and engine displacement of less than 1200cc for petrol and 1500cc for diesel are termed as small cars. This segment includes the entry-level A-segment compact hatchbacks like Maruti Alto, Tata Nano, Renault Kwid and Datsun Redigo. It also includes B-segment hatchbacks like the Hyundai i10, Maruti Celerio, Maruti Wagon R and Datsun Go amongst others. Maruti Swift, Tata Tiago, Honda Brio, Hyundai Grand i10 also fall under its ambit along with premium hatchbacks like Hyundai Elite i20, Maruti Baleno, Volkswagen Polo and Fiat Punto. Crossovers like i20 Active, Toyota Etios Cross and Fiat Avventura will also be in the same bracket along with SUVs like Maruti Suzuki Vitara Brezza, Ford Ecosport, Mahinda Nuvosport and TUV 300.

    The automotive sector expected an 18 per cent tax slab for at least the small cars which would have helped reduce their prices. Lower prices would have pushed the demand for cars up resulting in overall growth of the automotive sector. 

     

    Popular News

    Recent News

    Featured Cars

    • Popular
    • JUST LAUNCHED
    • Upcoming
    Maruti Suzuki Dzire
    Maruti Dzire
    Rs. 6.79 Lakhonwards
    Avg. Ex-Showroom price
    Show price in my city
    JUST LAUNCHED
    11th NOV
    Skoda Kylaq
    Skoda Kylaq
    Rs. 7.89 Lakhonwards
    Avg. Ex-Showroom price
    Show price in my city
    JUST LAUNCHED
    6th NOV
    Tata Curvv
    Tata Curvv
    Rs. 9.99 Lakhonwards
    Avg. Ex-Showroom price
    Show price in my city
    Mahindra XUV 3XO
    Mahindra XUV 3XO
    Rs. 7.79 Lakhonwards
    Avg. Ex-Showroom price
    Show price in my city
    BMW M5
    BMW M5
    Rs. 1.99 Croreonwards
    Avg. Ex-Showroom price
    Show price in my city
    JUST LAUNCHED
    21st NOV
    Hyundai Creta
    Hyundai Creta
    Rs. 11.00 Lakhonwards
    Avg. Ex-Showroom price
    Show price in my city
    Mahindra Thar Roxx
    Mahindra Thar Roxx
    Rs. 12.99 Lakhonwards
    Avg. Ex-Showroom price
    Show price in my city
    Mahindra Scorpio N
    Mahindra Scorpio N
    Rs. 13.85 Lakhonwards
    Avg. Ex-Showroom price
    Show price in my city
    BMW M5
    BMW M5
    Rs. 1.99 Croreonwards
    Avg. Ex-Showroom price
    Show price in my city
    JUST LAUNCHED
    21st NOV
    Mercedes-Benz AMG C 63 S E Performance
    Mercedes-Benz AMG C 63 S E Performance
    Rs. 1.95 Croreonwards
    Avg. Ex-Showroom price
    Show price in my city
    JUST LAUNCHED
    12th NOV
    Maruti Suzuki Dzire
    Maruti Dzire
    Rs. 6.79 Lakhonwards
    Avg. Ex-Showroom price
    Show price in my city
    JUST LAUNCHED
    11th NOV
    Skoda Kylaq
    Skoda Kylaq
    Rs. 7.89 Lakhonwards
    Avg. Ex-Showroom price
    Show price in my city
    JUST LAUNCHED
    6th NOV
    Mercedes-Benz AMG G-Class
    Mercedes-Benz AMG G-Class
    Rs. 3.60 Croreonwards
    Avg. Ex-Showroom price
    Show price in my city
    Mercedes-Benz E-Class
    Mercedes-Benz E-Class
    Rs. 78.50 Lakhonwards
    Avg. Ex-Showroom price
    Show price in my city
    Volvo EX40
    Volvo EX40
    Rs. 56.10 Lakhonwards
    Avg. Ex-Showroom price
    Show price in my city
    BYD eMax 7
    BYD eMax 7
    Rs. 26.90 Lakhonwards
    Avg. Ex-Showroom price
    Show price in my city
    Audi Q7 facelift
    LAUNCHING SOON
    Nov 2024
    Audi Q7 facelift

    Rs. 89.00 - 98.00 LakhEstimated Price

    28th Nov 2024Expected Launch

    Get Launch Alert on WhatsApp

    Mahindra XEV 9e
    Mahindra XEV 9e

    Rs. 50.00 - 52.00 LakhEstimated Price

    26th Nov 2024Expected Launch

    Get Launch Alert on WhatsApp

    Mahindra BE 6e
    Mahindra BE 6e

    Rs. 17.00 - 21.00 LakhEstimated Price

    26th Nov 2024Unveil Date

    Get Launch Alert on WhatsApp

    Honda Amaze 2024
    LAUNCHING SOON
    Dec 2024
    Honda Amaze 2024

    Rs. 7.50 - 10.00 LakhEstimated Price

    4th Dec 2024Expected Launch

    Get Launch Alert on WhatsApp

    Toyota Camry 2024
    Toyota Camry 2024

    Rs. 45.00 - 55.00 LakhEstimated Price

    11th Dec 2024Expected Launch

    Get Launch Alert on WhatsApp

    BMW New X3
    BMW New X3

    Rs. 65.00 - 70.00 LakhEstimated Price

    Jan 2025 (Tentative)Expected Launch

    Get Launch Alert on WhatsApp

    Hyundai Creta EV
    Hyundai Creta EV

    Rs. 22.00 - 26.00 LakhEstimated Price

    Jan 2025 (Tentative)Expected Launch

    Get Launch Alert on WhatsApp

    Tata Punch facelift
    Tata Punch facelift

    Rs. 6.00 - 11.00 LakhEstimated Price

    Feb 2025 (Tentative)Expected Launch

    Get Launch Alert on WhatsApp

    Popular Videos

    Mail Image
    Sign up for our Newsletter
    Get all the latest updates from CarWale
    • Home
    • News
    • GST slabs announced, cars to be taxed at 28 per cent