Auto components industry seeks 18% GST on all products

Auto component industry on Monday sought uniform 18 per cent GST across the sector stating that low taxation would lead to better compliance and larger tax base. The industry, which reported a growth of 18.3 per cent to Rs. 3.45 trillion in 2017-18, said the lower tax levy would also help in curtailing flourishing of grey operations in the aftermarket.

"One of the key demands of the industry has been a uniform 18 per cent GST rate across the auto componet sector. Currently 60 per cent of the components attract 18 per cent GST rate, while the rest 40 per cent, majority of which are two-wheelers, and tractor components attract 28 per cent, "ACMA President Nirmal Minda told reporters here.

The Business Standard, 07th August 2018

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