Lower house gives nod to GST cess hike bill on luxury cars

New Delhi, Dec 28 (KNN) The Lok Sabha gave nod to the bill to raise cess on luxury motors from 15 per cent to 25 per cent recently under the GST (Compensation to States) Amendment Bill tab.

Under the bill, the earlier ordinance that was issues in September will be replaced.

Debating over the bill in the parliament, Finance Minister Arun Jaitley informed that the finds collected following hike in cess o the luxury automobiles will be used to compensate states for the loss of revenue that it incurred during the early GST implementation days.

The earlier introduced ordinance allowed for a hike in the GST cess on a range of cars from mid-size to hybrid variants and the luxury ones to 25 per cent. (With PIB Inputs) (KNN/DA)