Bring some stability

Automobiles was one sector that cheered the announcement of the GST rate structure

Apropos the report, “Auto firms lash out at move to hike cess on large cars, SUVs” (August 9) by Ajay Modi and Indivjal Dhasmana, automobiles was one sector that cheered the announcement of the goods and services tax (GST) rate structure. The effective tax rate in this sector went down as GST absorbed several taxes such as VAT, sales tax, road tax, motor vehicles tax and registration duty on cars and bikes. Luxury cars and sports utility vehicles were among the biggest beneficiaries, with the effective tax rate plummeting to 28 per cent plus 15 per cent cess from 42