September 4, 2017 7:09 AM

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Govt notifies hike in GST cess on range of cars from mid to large ones to 25%

The government has notified hike in GST cess on a range of cars from mid-size to hybrid variant to luxury ones to a maximum of 25 per cent. Earlier the cess was 15 per cent. It has come into force with effect from 2nd of September which is the date of official gazette notification. <br/><br/>The decision has taken after the President Ram Nath Kovind gave his assent to the ordinance which was last week approved by the Union Cabinet and sent to the President for his approval. <br/><br/>With this amendment, taxation on luxury, SUV and other vehicles would be brought at par with that prevailing pre-GST rollout. However, the quantum of CESS hike in each variety of car would be decided by the GST Council, chaired by Union Finance Minister Arun Jaitley and his state counterparts, in its next meeting on 9th of September.

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