Breaking News

You are here » Indian-Commodity  :  Economy  :  India's auto component industry seeks uniform 18% GST across sector


India's auto component industry seeks uniform 18% GST across sector

Indian auto component manufacturing industry sought uniform 18 percent Goods and Services Tax (GST) rate across the sector and stated that low taxation would not only ensure better compliance, but would also ensure a larger tax base. Besides, it said that the lower tax levy would also help in curtailing flourishing of grey operations in the aftermarket.

Automotive Component Manufacturers Association of India (ACMA) President Nirmal Minda has indicated that presently, 60 percent of the components attract 18 percent GST rate, while the rest 40 percent, majority of which are two-wheelers, and tractor components attract 28 percent. He also elaborated that there is a need for creating a fund to support indigenous R&D and technology creation in the component industry as also for technology acquisition from other parts of the world. Minda said “As we prepare for the introduction of electric mobility in the country, a well-defined, technology agnostic road map with clear responsibilities of each stakeholder will go a long way in ensuring a smooth roll out as also leading to creation of a local supply base for the same.”

According to ACMA, the Indian auto components industry registered a growth of 18.3 percent to Rs 3.45 lakh crore for the first time in the financial year 2017-18. Also, exports of auto components grew by 23.9 percent to Rs 90,571 crore from Rs 73,128 crore in 2016-17.

Related News

View all news

Number of people filing tax returns may double during 5 years of present government: Jaitley

Finance Minister Arun Jaitley has said that the number of people filing tax returns in India is likely to double to 7.6 crore during 5 years of present government due to initiatives like rationalisation......

Cabinet may soon approve proposed new industrial policy: Prabhu

Commerce and Industry Minister Suresh Prabhu has said the Union Cabinet may soon approve the new industrial policy that aims at promoting manufacturing, attracting investments and creating jobs. He also......

India's manufacturing sector outlook to remain positive for Q2FY19: FICCI

With higher production in manufacturing, Federation of Indian Chambers of Commerce and Industry (FICCI) in its latest quarterly survey has stated that the outlook for India's manufacturing sector is positive......

Top News

View all news

Ashiana Housing wins two awards

Ashiana Housing has won two awards. Realty Plus Awards 2018 has felicitated 'Ashiana Umang' as 'Best Themed Project' and the company's website as the 'Best Real Estate Website of the year'.Ashiana Umang......

Tata Power inaugurates second 'All-women' CRC in Mumbai

Tata Power has inaugurated its second 'All Women' Customer Relations Centre (CRC) in Borivali (East), Mumbai, with an aim to continue providing their talented and highly skilled women employees with new......

McLeod Russel hands over specified assets of eight Tea Estates to M K Shah Exports

McLeod Russel India has handed over the specified assets of the eight Tea Estates of the company to M K Shah Exports.Post completion of due diligence by M K Shah Exports (Buyer) and on compliance of the......