New Delhi: The GST Council meeting, called to decide on cutting tax rates on electric vehicles, has just concluded. As per decisions taken in the meeting on Saturday, the Council has reduced the GST rate on electric vehicles from 12 per cent to 5 per cent, sources said.Also Read - Online Gaming, Casino, Horse Racing May Soon Attract 28% GST
Further, the Council has agreed to reduce GST on electric vehicles chargers from 18 per cent to 5 per cent in effect from August 1, 2019. Also Read - CBIC Extends Date for Filing GSTR 3B Due to Technical Glitch
GST Council has also exempted hiring of electric buses by local authorities from GST. Also Read - Timing Of RBI Rate Hike Was Surprising: Sitharaman
On Thursday, the meeting had to be postponed as Finance Minister Nirmala Sitharaman was pre-occupied in Parliament, officials said.
The 36th GST Council meeting, which was to be held through video conferencing, had only one item in the agenda and that was to consider Centre’s proposal to slash GST rates to 5 per cent from 12 per cent on e-vehicles.
The Council, which is chaired by Union Finance Minister and has state finance ministers as members, in its meeting last month, had referred the issue relating to Goods and Services Tax (GST) concessions on electric vehicle, electric chargers and hiring of electric vehicles, to an officers committee.
The recommendations of the officers’ committee were to be placed before the Council on Thursday.