As is common knowledge, the GST Council made the decision at its 48th meeting declaring of what constitutes an SUV. Therefore gst on SUV cars become the important topic. In order to be considered an SUV in accordance with the new definition, a vehicle will need to satisfy three criteria.
Total three criteria for SUV as per GST Council meeting
Criteria-1 Engine Capacity of car
Engine capacity must be greater than 1500 cc,
Criteria-2 Length of car
Length that is greater than 4000 mm
Criteria-3 Ground Clearance
Ground clearance must be greater than 170 mm
As well it must be recognised as an SUV in the consumer market,
GST on USV cars as defined in GST Council meeting
GST is 28%
Cess is 22%
Effective rate is 50%
List of SUV not covered in definitions of GST Council Meeting
The vast majority of these SUVs do not satisfy a number of the criteria outlined by the council. According to the new definition, a vehicle cannot be considered an SUV if it does not satisfy criteria listed above.
So lets have a look towards SUV not covered in new definition of GST council meeting
List of SUV not covered in SUV definition of GST Council (list is inclusive-Means there can be other cars also)
List of SUV covered in definitions of GST Council Meeting
All of the SUVs that have been mentioned in the following list e have a length that is greater than 4000 mm, a ground clearance that is greater than 170 mm, and an engine that is greater than 1,500 cc. On addition, they are all commonly known as SUV in the market. For this reason, these SUVs, and all of them satisfy the criteria necessary to be taxed at the maximum possible GST rate.
List of SUV covered in SUV definition of GST Council (list is inclusive-Means there can be other cars also) Means in this cars there will be 28% GST+22 Cess
|Mercedes-Benz GLA diesel|
|Jeep Grand Cherokee|
|Hector Plus -diesel|