FADA Urges GST Council To Reduce Tax On Two-Wheelers

The Federation of Automobile Dealers Associations (FADA), has submitted a representation to the GST Council, urging an immediate reduction in the GST rate on two-wheelers from the current 28 per cent to 18 per cent. FADA President Mr. Manish Raj Singhania said, "Now is the opportune moment for the GST Council to reduce the GST rate on two-wheelers, making them more accessible for the common man, thereby providing the much-needed boost to the industry, generating employment opportunities and fostering India's overall economic growth." FADA's compelling appeal has been forwarded to the Finance Minister, chair of the GST Council, all GST Council members, the Ministry of Heavy Industries, which supervises the automobile sector and the Ministry of Road Transport & Highways. FADA believes that a reduction in the GST rate will address several critical issues facing the industry, including rural distress, the transition from BS-4 to BS-6 emission norms and the sharp increase in two-wheeler prices.