Tag Archives: GST

A year after GST rollout, used car sales rebound in Q1 on lower base

The pre-owned car market has been subdued since November 2016, when the government demonetized high-value notes. Photo: Shankar Mourya/HT New Delhi: A year after implementation of the nationwide goods and services tax (GST), the organized used or pre-owned car sales market has started to recover albeit at a slow pace as the taxes imposed on such vehicles are still higher compared ... Read More »

Auto sales zoom in June, aided by new car launches, low base due to GST

Passenger car market leader Maruti Suzuki’s domestic sales (excluding vans, commercial vehicles) rose 45.32% last month. Photo: Reuters Mumbai: Automobile sales that grew in May picked up further speed in June, aided by new model launches and the low base of the previous year. India’s top five carmakers, Maruti Suzuki India Ltd, Hyundai Motor India Ltd, Tata Motors Ltd, Mahindra and ... Read More »

GST Rates: Used Cars To Get Cheaper As Latest GST Council Meeting Slashes Rates

The GST council has lowered GST rates on used cars by 10-16 per cent Highlights GST rate on used cars has been lowered as per the category Small used cars benefit more with the GST rate lowered from 28% to 12% Cess has been abolished completely on ambulances by the GST council Ahead of the Budget 2018, the GST Council ... Read More »

GST impact on buying, selling used cars; 4 power points explain it all briefly

This type of transaction is similar to the one in the previous case, except that the buyer is in the course or furtherance of business. The second-hand car market in India is largely unorganised and fragmented. Since the transactions happen in different ways, following are the impact of goods and services tax (GST). Individual sells to individual As per Section ... Read More »

Hyundai Absorbs Some GST Cess Hike Costs, Spares Some Variants Of Cars Like New Verna and Creta

Hyundai’s recently launched Verna is yet another runaway hit for the Korean carmaker in India. There were fears that the Verna train might be slowed down by the government’s recent decision to hike cess on the GST charged on most passenger cars and SUVs. At the launch of the new Hyundai Verna, the company had promised a price protection for the first 20,000 customers ... Read More »

Branded used car firms lobbying for lower GST rate

Used cars attract GST rate of 28% or 43% on gross margin depending on the fuel type and engine size, as is the case with new cars. Photo: Ramesh Pathania/Mint Mumbai: Big Boy Toyz, a Gurugram-based firm that specializes in selling used super luxury cars such as Lamborghinis, Ferraris and Bentleys, has put its expansion on hold because of a goods ... Read More »

GST Effect on Used Cars Deals: Buyers Pay More, Sellers Fetch Less

The Indian government has clarified that the Goods and Services Tax (GST) on used cars will be paid only on the margins made by dealers. There will be no incidence of GST on deals between individuals, as it is assumed that the taxes have already been paid at the time of buying a new car and charging GST on a ... Read More »

Additional cess above GST to be removed on used car sales

Earlier Maharashtra had enforced an additional road tax of 2 percent on varying vehicle rates over and above the GST on purchase of new vehicles. This 2 percent cess was to replace the existing octroi duties in the state. NEW DELHI: Good news seems to be in the offing for the used car market. The additional cess of 15 percent that was to be imposed ... Read More »

Additional cess above GST to be removed on used car sales

NEW DELHI: Good news seems to be in the offing for the used car market. The additional cess of 15 percent that was to be imposed on certain categories of second hand vehicles will now not be chargeable, according to a recent notification by the Under-secretary to the Government of India. For instance certain categories of larger vehicles in the above 4 metre range were ... Read More »

‘Higher GST rates will turn buyers away from organised used-car market’

GST does not discriminate between new and used cars Players may not be able to increase prices for fear of losing customers CHENNAI, JULY 14:   High GST rates on used cars have hit margins of organised players in the business. GST does not discriminate between new and used cars as the rates are the same. So pre-owned car dealers in ... Read More »