Industry body welcomes GST rate cut on Electric Vehicles, charging stations
Electric vehicle makers’ association and auto makers have welcomed the Central government’s announcement on GST rate reduction for electric vehicles, charger and charging stations.
The 36th GST Council Meeting held on Saturday recommended a reduction of GST rate on all electric vehicles from 12 per cent to 5 per cent. Also, the GST rate on the charger/ charging stations for Electric vehicles be reduced from 18 per cent to 5 per cent.
The Centre’s GST rate cut follows a slew of incentives announced in the latest budget to accelerate the adoption of electric vehicles in India, a move aimed at reducing the air pollution in the country.
The hiring of electric buses (of carrying capacity of more than 12 passengers) by local authorities will be exempted from GST. These changes shall come into effect from August 1, 2019.
