Traditional manufacturers, startups cheer reduction in GST on electric vehicles
New Delhi: The automobile industry welcomed the decision of the Goods and Services Tax council to put electric vehicles on the 5% slab from 12% earlier. This decision of the government along with other policy measures are aimed at promoting electric mobility in the country.
Manufacturers of electric vehicles were clamouring for a rate reduction for a long time as the industry is in a nascent stage an will need policy support from the government to flourish.
According to Rajan Wadhera, president, Society of Indian Automobile Manufacturers (Siam), government’s vision of increasing electric mobility in the country has been acknowledged by GST council by significantly reducing GST rate on electric vehicles.
