- Electric Vehicle Charger will be 5% GST instead of 18%
- New rates for GST will be effective from 1st August
Jul 27, 2019, 01:14 PM IST
new Delhi. GST Council has reduced the GST rate from 12% to 5% on electric vehicles. GST on Electric Vehicle Charger has been reduced from 18% to 5%. New rates will be effective from 1st August. Local bodies will be exempted from GST if they take the electric bus. These decisions were taken in the 36th meeting of the GST Council held on Saturday under the chairmanship of Finance Minister Nirmala Sitharaman.
To promote e-vehicle in the country, the government had proposed to reduce GST. Electric vehicle manufacturers were also demanding to reduce GST. The Government had also announced in the budget that the tax on interest of up to Rs 1.5 lakh on e-vehicles will be given the benefit of rebate of income tax.
To control pollution and to stay ahead of the electric vehicle industry, the government wants that by 2023, all three Wheeler in the country and all two-wheeler electric by 2025