SIAM is the Apex National Body representing Indian Automobile Industry

GST

India has adopted Goods & Services Tax (GST) from July 1, 2017. The rates applicable for vehicles is provided below:

 

Tax Type

Tax Rate

GST

 

 

 

Vehicle Category

GST Rate

Electric Vehicles – Falling under tariff heading 8702, 8703, 8704, 8711

12%

Passenger Vehicles/Commercial Vehicles/Three-wheelers/Two-wheelers – Falling under tariff heading 8702, 8703, 8704, 8711

28%

Compensation Cess

 

Vehicle Category

Cess

>4m passenger vehicles (Petrol, Diesel, CNG, Ethanol, methanol, hybrid electric and fuel cell)

15%

<4m passenger vehicles (petrol, CNG, Ethanol, Methanol)

1%

<4m passenger vehicles (diesel, Ethanol, Methanol)

3%

>350cc two-wheelers falling in tariff heading 8711

3%

10 – 13 seater public transport vehicles falling in tariff heading 8702

15%