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Central govt open to take industry proposal to GST Council

Indo-Asian News Service
Updated: September 6th, 2019, 15:33 IST
in Business
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New Delhi: Central government is open to take the industry’s proposal on reducing the Goods and Services Tax (GST) rates on automobiles to the GST Council, said the Minister of State for Finance & Corporate Affairs Anurag Thakur Friday.

Currently, the GST rates on automobiles are pegged at 28 per cent. However, the industry has demanded that to reverse the consumption slowdown the GST rates should be brought down to 18 per cent.

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Thakur was speaking at the ACMA annual convention which was held here.

Besides, the Minister asked the auto industry players to reach out to the State Finance Ministers as well, as the decision on any change in GST rates can only be taken by the GST Council.

At present, the entire sector suffers from a sales downturn due to several factors like high GST rates, farm distress, stagnant wages and liquidity constraints. Besides, inventory pile-up and stock management of unsold BS-IV vehicles have become a problem for the sector.

Tags: Anurag ThakurGST CouncilGST ratesState Finance Minister
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