FADA seeks GST cut on two-wheelers

Bengaluru: The Federation of Automobile Dealers Associations (FADA) has submitted a representation to the GST Council, urging an immediate reduction in GST rate on two-wheelers from the current 28% to 18%. This intervention has been sought to make two-wheelers more affordable, thus reinvigorating an industry that has seen a slump in sales over the past few years.FADA president Manish Raj Singhania said, “The two-wheeler industry is at a critical juncture, grappling with unprecedented challenges such as rising inflation, stringent emission norms and post Covid-19 effects in India. Now is the opportune moment for the GST Council to reduce GST rate on two-wheelers, making them more accessible for the common man, thereby providing much-needed boost to the industry, generating employment opportunities and fostering India’s overall economic growth.”