GST Council reduces GST rates in EVs and Chargers to 5%
New Delhi: In a big boost to the Electric Vehicle (EV) sector, the GST Council on Saturday reduced GST rates on all Electric Vehicles from 12% to 5% and of charger or charging stations for EVs from 18% to 5%. The decision was taken at the 36th GST Council meeting which was held here Via Video Conference under the chairmanship of Union Finance & Corporate Affairs Minister Nirmala Sitharaman.
The meeting was also attended by Union Minister of State for Finance & Corporate Affairs Anurag Thakur besides Revenue Secretary Ajay Bhushan Pandey and other senior officials of the Ministry of Finance.
The Council has recommended the following:
- GST rate related changes on supply of goods and services
- The GST rate on all electric vehicles to 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 to be exempted from GST.
- These changes shall become effective from 1st August, 2019.
- Changes in GST law:
- Last date for filing of intimation, in FORM GST CMP-02, for availing the option of payment of tax under notification No. 2/2019-Central Tax (Rate) dated 7th March (by exclusive supplier of services), to be extended from 31st July to 30th September 2019.
- The last date for furnishing statement containing the details of the self-assessed tax in FORM GST CMP-08 for the quarter April, 2019 to June, 2019 (by taxpayers under composition scheme), to be extended from 31st July to 31st August 2019.