GST reduction on EVs and chargers
Goods and Services Tax (GST) has been reduced on Electric Vehicles (EVs) and chargers in a bid to boost demand and in response to the impending industry demand. On EVs, GST has been reduced from 12 per cent to five per cent; on charging stations it has been reduced from 18 per cent to five per cent. With the backdrop of EVs covered under the Production Linked Incentive (PLI) scheme, the move comes as a big relief to the industry. In addition, the Ministry of Road Transport and Highways (MoRTH) has also advised the states to waive off road-tax on EVs. Out of the total EV pool of 966,363 vehicles, Uttar Pradesh leads the pack with 276,217 EVs followed by Delhi with 132,302 EVs. Maharashtra comes in at a distant 58,815 EVs and is expected to catch up.