GST effect: Maruti Suzuki's take on the new taxation regulation in India
The new tax regulations for the auto industry have been laid down by the Government of India. While the previous taxation system included the excise duty, various forms of cess, VAT and NCCD, Goods and Service Tax (GST) will have only one tax and a certain percentage of cess. While many have applauded this decision, some manufacturers have expressed disappointment based on the portfolio of cars they sell in India. Depending on whether its a small car or even for that matter hybrids, the prices have either gone up or increased significantly. While you can read more about how GST impacts the automotive sector overall on this link Here is what Maruti Suzuki has to say on the subject.
" The ex-showroom prices of Maruti Suzuki models have come down by upto 3%. The rate of reduction varies across locations depending on the VAT rates applicable prior to GST. Owing to withdrawal of tax concessions on mild hybrid vehicles, the price of Smart Hybrid Ciaz diesel and Smart Hybrid Ertiga diesel has increased."
Starts Rs 7.44 Lakhs