The Society of Producers of Electric Vehicles (SMEV) on Saturday welcomed the discount of GST on electric vehicles to five per cent, saying it’s in step with the federal government’s steps to advertise eco-friendly mobility, even because it sought an analogous minimize in spare batteries.
SMEV Director Basic Sohinder Gill stated with the discount in GST, the hole between costs of EVs and inner combustion engine autos can even be decreased and can thus play a component in quicker adoption of electrical mobility.
“The federal government is these days displaying very clear intentions of selling EVs and GST discount is one such measure in step with the sequence of actions taken by the federal government in the previous couple of months,” Gill stated in a press release.
“We welcome the 7 per cent discount in GST as it is going to scale back the hole between the EVs and the IC Engine autos,” he added.
Gill stated if FAME-II was a dampener, the GST discount is actually a vivid spot within the nationwide EV policy.
“The EV trade now awaits the corresponding discount of the 18% GST within the spares batteries as it is going to assist preserve the low operating price of EVs over their lifetime,” he stated.
It additionally slashed the Items and Providers Tax (GST) on EV chargers from 18 per cent to five per cent.