Two-wheelers merit GST rate revision, says FM Nirmala Sitharaman

Council to take up issue; SoPs for hotels, tourism, aviation may be tweaked

Finance Minister Nirmala Sitharaman on Tuesday said the Goods and Services Tax (GST) Council would look into the auto industry’s demand for lowering the tax rate on two-wheelers, which are now taxed at the highest slab rate of 28 per cent. The assurance came during an interaction she had with members of the Confederation of Indian Industry (CII).

“Since two-wheelers are neither a luxury nor a sin product, they merit a rate revision. Consequently, this will be taken up with the GST Council,” the CII quoted Sitharaman as saying.

The Council, slated to meet on Thursday, has the single-point agenda of compensation