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GST Council authorises Centre to hike cess on SUVs, luxury cars from 15% to 25%

8 Aug. 2017

GST Council has authorised Centre to hike cess on SUVs, luxury and large cars to 25 percent from 15 percent.  Finance Ministry today said, GST Council in its meeting last Saturday considered the issue that total tax incidence on motor vehicles after GST has come down.  It recommended that Central Government may move legislative amendments to increase maximum ceiling of cess on motor vehicles to 25 percent from present 15 percent.
However, the decision on when to raise the actual cess leviable on the motor vehicles will be taken by the GST Council in due course.

 

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