Tubes of vehicles can be expensive, it seems at 18 percent now, GST

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Tubes used in motor vehicles can be expensive in the coming days. All India Tire Dealers Federation (AITDF) has submitted a report on the increase in GST to the vehicles on Wednesday by Union Finance Minister Arun Jaitley. It may be discussed at the meeting of the GST Council on March 19. AITDF said in its report that initially, the rubber tires and tubes used in motor vehicles were equal to the rate of 28 per cent.

Last year, trucks, buses, cars, SUVs, two-wheelers and three-wheeler vehicles, GST was reduced from 28 to 18 percent on the tube that took place in the earthmoving machines. However, the GST Council decided that if a customer buys a tube (full wheel set) with a tire, then he will have to give 28 percent GST on both, but if the customer buys the tube only then 18 percent will give GST.

Increased trouble of dealers

AITDF convener SP Singh said that the problem of dealers has increased due to the reduction in GST rates on the tube. If the dealer makes a separate bill of tires and tubes, the GST Department of Enforcement accuses them of tax evasion. That is why dealers are demanding to re-equip 28% GST on the tire tube. If the council decides, the Code of Conduct will not have any effect on this as it is being increased instead of reducing the rate.

Read more at: https://www.amarujala.com/india-news/vehicle-tubes-can-be-expensive-gst-at-18-percent-now