Rage Over GST Rates in Automobile Spare Parts Community

The goods and services tax has entered its last phase after going through months of complex discussions and managing financial reforms. The 14th meeting held recently in Srinagar went way ahead and made tax rates fitment on nearly all the goods and services subsequently in the two days extension.

It has been seen that various sectors are happy and have supported the new tax rates while on the other side of the story, there are some sectors which are totally opposing the new tax laws. As of now, the GST bill is being seen as a revolutionary tax change globally. But many industries and sectors are showing their own dissatisfaction in this new tax scheme and the businessmen community of car spare parts and accessories from Delhi region are not at all convinced with the decision.

Known as the Asia’s largest spare parts market in Kashmiri Gate, Delhi has shown intense desperate with the influx of GST bills. They are protesting against the higher implication of GST rate in the sector and have shown their discontent by the black bandage on their hands. These businessman communities are not at all happy and are against the 28% GST rates set on spare parts, tractor parts and car accessories.

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According to Automotive Parts Merchant Association, auto parts and car accessories cost 12.5% and tractor parts 5% VAT, but now the rate of GST has been decided at 28%. The association main leaders Vishnu Bhargava and Vinay Narang have demanded that the tax rate of 28% should be reduced to 18%.

Brajesh Goyal of the Aam Aadmi Party’s Trade Wing has claimed to keep the demands of businessmen in front of the Chief Minister of Delhi. Trade Wing will ask the Delhi government to send a letter to Union Finance Minister Arun Jaitley in this regard while other measures will be taken as soon as possible.