Announcing the beginning of the GST Bachat Utsav, Prime Minister Narendra Modi said that it marks a new chapter in the country’s tax system, making it simpler, more transparent, and people-friendly. The Next Generation Reforms are committed to providing direct relief to the citizens by reducing the tax burden on essential goods and services. Our correspondent reports that these reforms will accelerate the nations’ growth story. A report
With the GST reforms coming into effect today, the reforms will provide significant relief to citizens through substantial tax reductions on automobiles. Two-wheeler bikes and small cars will now be taxed at 18 per cent from the earlier 28 per cent. Meanwhile, a 40 per cent tax will be levied on large cars, and the cess on these vehicles has been eliminated. This move by the government will reduce the effective tax on large cars, making them more affordable for buyers. Apart from this, the majority of the components used for the manufacture of Motor cars and motorbikes, the auto components, have also been reduced to 18%. Talking to the media, citizens expressed that a reduction in GST on vehicles will render cars more accessible to consumers.
