Concil trim rate on Electric Vehicles
The Society of Manufacturers of Electric Vehicles (SMEV) on 27 July 2019 welcomed the reduction of GST on electric vehicles to 5%, saying it is in line with the government’s steps to promote eco-friendly mobility, even as it sought a similar cut in spare batteries. SMEV director general Sohinder Gill said with the reduction in GST, the gap between prices of EVs and internal combustion engine vehicles will also be reduced and will thus play a part in faster adoption of electric mobility.
- The 36th GST Council Meeting was held in Delhi with the chairmanship of Smt. Nirmala Sitharaman. The GST rate on all electric vehicles be reduced from 12% to 5%.
- The GST rate on charger or charging stations for Electric vehicles be reduced from 18% to 5%.
- Hiring of electric buses (of carrying capacity of more than 12 passengers) by local authorities be exempted from GST. These changes shall become effective from 1st August, 2019.
Changes in GST law:
- Last date for filing of intimation, in FORM GST CMP-02, for availing the option of payment of tax under notification, to be extended from 31.07.2019 to 30.09.2019.
- The last date for furnishing statement containing the details of the self-assessed tax in FORM GST CMP-08 for the quarter April, 2019 to June, 2019 (by taxpayers under composition scheme), to be extended from 31.07.2019 to 31.08.2019.
- The genesis of the introduction of GST in the country was laid down in the historic Budget Speech of 28th February 2006, wherein the then Finance Minister laid down 1st April, 2010 as the date for the introduction of GST in the country.
- Thereafter, there has been a constant endeavor for the introduction of the GST in the country whose culmination has been the introduction of the Constitution (122nd Amendment) Bill in December, 2014.