Car makers may hike prices soon with rise in GST cess from today
The GST Councils decision on increasing the cess on mid-size, large cars and SUVs will be implemented today as announced by CBEC.
Key highlights:
- Car makers are expected to pass this hike to consumers in the form of a price hike soon
- GST Council approved increase the GST cess on mid-size cars, large cars and SUVs
- Mahindra and Mahindra, Toyota Kirloskar Motor, Audi, Mercedes-Benz and JLR India are planning to pass on the increased cess
With the hike in the goods and service tax (GST) cess on mid-size cars, large cars and SUVs being implemented on Monday following the GST Council's decision, the car makers are expected to pass this hike to consumers in the form of a price hike.
The GST Council on Saturday announced that it will increase the GST cess on mid-size cars, large cars and SUVs by 2%, 5% and 7%, respectively. This would take the total taxes (GST + Cess) to 45%, 48% and 50% for these three segments.
Hike in GST cess of mid, large cars, SUVs to take effect from tomorrow
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.