5% GST Rate for Electric Vehicles from 1 August 2019, notifies CBIC

5% GST Rate for Electric Vehicles from 1 August 2019, notifies CBIC

CBIC notifies 5% GST Rate for electric vehicles including two/ three wheelers, e-rickshaw/ bicycles, etc., as reduced from 12% and applicable w.e.f. 1 August 2019, based on recommendations of the GST Council. Reduced GST Rate shall also apply to electrical chargers, charging stations, etc. meant for such vehicles.

Reduced 5% GST Rate for Electric Vehicles: CBIC Notification No. 12/2019 Central Tax (Rate) dt. 31 July 2019

G.S.R. (E).- In exercise of the powers conferred by sub-section (1) of section 9 and sub-section (5) of section 15 of the Central Goods and Services Tax Act, 2017 (12 of 2017), the Central Government, on the recommendations of the Council, hereby makes the following further amendments in the notification of the Government of India in the Ministry of Finance (Department of Revenue), No.1/2017-Central Tax (Rate), dated the 28th June, 2017, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 673(E), dated the 28th June, 2017, namely:-

In the said notification, –

(a) in Schedule I – 2.5%,-

(i) after serial number 234A and the entries relating thereto, the following serial number and entries shall be inserted, namely: –

“234B8504Charger or charging station for Electrically operated vehicles”;

(ii) after serial number 242 and the entries relating thereto, the following serial number and entries shall be inserted, namely: – 

“242A87Electrically operated vehicles, including two and three wheeled electric vehicles. Explanation .- For the purposes of this entry, “Electrically operated vehicles” means vehicles which are run solely on electrical energy derived from an external source or from one or more electrical batteries fitted to such road vehicles and shall include E- bicycles.”;

(b) in Schedule II – 6%, serial number 206 and the entries relating thereto shall be omitted;

(c) in Schedule III – 9%, against serial number 375, in the entry in column (3), after the word “inductors”, the words “, other than charger or charging station for Electrically operated vehicles” shall be inserted.

2. This notification shall come into force on the 1st August, 2019.

Note: – The principal notification No.1/2017-Central Tax (Rate), dated the 28th June, 2017 was published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 673(E), dated the 28th June, 2017 and last amended by notification No. 24/2018-Central Tax (Rate), dated the 31st December, 2018, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i) vide number G.S.R. 1261(E), dated the 31st December, 2018.

Reduced 5% GST Rate for Electric Vehicles: CBIC Notification No. 12/2019 Integrated Tax (Rate) dt. 31 July 2019

Reduced 5% GST Rate for Electric Vehicles: CBIC Notification No. 12/2019 Union Territory Tax (Rate) dt. 31 July 2019

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