Mumbai: Buyers of luxury and premium car models stand to benefit the most in the new goods and services tax (GST) regime. Most of the manufacturers of such models on Saturday said they are passing on the GST benefits with effect from Saturday. The price change will depend on each state, model and variant, depending on tax rates applicable prior to GST. The move may spur sales of luxury car models in a market where their overall share in the passenger vehicle market is less than 2%. With the maximum cess on luxury cars capped at 15%, and with a GST rate of 28%, the maximum duty one will pay is 43%.

Source: Mint July 01, 2017 16:41 UTC