Please Tell Us Your City

Knowing your city will help us provide relevant content to you.

Sorry! No matching results found. Try again.Error Identifying Your Location.

We won't support this browser soon. For a better experience, we recommend using another browser. Learn More

Ad

Excise duty concessions for automobiles extended by six months

June 25, 2014, 05:13 PM IST by Ranjan R. Bhat
10036 Views
2 comment(s)
Excise duty concessions for automobiles extended by six months

Car manufacturers as well as customers can now breathe a sigh of relief as the government today announced an extension of the excise duty cut on automobiles for six more months. The concession ranging from four per cent to six per cent was supposed to be rolled back on June 30, though the announcement by Mr. Arun Jaitley, the finance minister, has now extended it till December 31.

"Excise duties for some vehicles were reduced in February this year. Some concessions were also granted to some capital and consumer durables. The government has decided to extend this facility further for six months," Jaitley said.

In February, the announcement of the Interim Budget had resulted in a reduction of excise duty on cars, two-wheelers as well as commercial vehicles. The duty on small cars, motorcycles, scooters and commercial vehicles was reduced from 12 per cent to eight per cent while that on SUVs was cut from 30 per cent to 24 per cent. Subsequently, a majority of car manufacturers passed on these tax benefits to the customers by announcing a cut in prices.

Commenting about this announcement, Arvind Saxena, President and Managing Director, GM India said, “It’s a welcome decision and we hope government will extend it for the full year in the budget as the sector continues to be sluggish. We also expect government to announce other measures in the budget to revive the growth.”

Earlier this month, members of SIAM met with the commerce minister, Nirmala Sitharaman, asking for a continuation of the excise duty cuts as the reduction in prices saw the car sales in the country report a positive growth after a long time. If the government hadn’t extended the concessions, car manufacturers would’ve had to increase the prices again, which would’ve surely dampened the car sales once again.

Mr. Vikram Kirloskar, President, SIAM has warmly welcomed this move by the government. “We are certain that the extension of the reduced Excise Duty will contribute positively to improve the buyer sentiment and would help in bringing about a sustained recovery in the automotive industry that has been languishing for over two years now. On behalf of the entire automotive sector, I would like to thank Government for their very timely and supportive role,” Mr. Kirloskar said.

 
  • Chevrolet
  • Chevrolet Beat
  • Beat
  • FaceBook Logo
  • Twitter Logo
  • Email Logo
Show CommentsHide Comments
bell icon
Never miss an update
Receive latest updates from CarWale
Ad
  • Upcoming Cars

Tata Nexon EVTata Nexon EV

28th Jan 2020

15L - ₹ 17L
Mercedes-Benz GLE NewMercedes-Benz GLE New

29th Jan 2020

65L - ₹ 80L
Land Rover New Range Rover EvoqueLand Rover New Range Rover Evoque

30th Jan 2020

53L - ₹ 70L
Lexus LC 500hLexus LC 500h

31st Jan 2020

1.60Cr - ₹ 2Cr
Kia CarnivalKia Carnival

5th Feb 2020

25L - ₹ 27L
All Upcoming Cars
Buying a new Car?Leave a missed call1800 2090 230(Toll free)

Select your city to avail offers

Currently available only in