ELECTRIC VEHICLES

The 36th GST Council Meeting was recently held under the chairmanship of Union Finance Minister Nirmala Sitharaman. The Council has recommended the following:

GST rate related changes on supply of goods and services

• The GST rate on all electric vehicles be reduced from 12% to 5%.
  
  
• The GST rate on charger or charging stations for Electric vehicles be reduced from 18% to 5%.
  
  
• Hiring of electric buses (of carrying capacity of more than 12 passengers) by local authorities be exempted from GST.
  
  
• These changes shall become effective from 1st August, 2019.