Arun Jaitley introduces bill to hike cess on motor vechiles

NewDelhi Dec 22: Union finance minister today had introduced a bill to replace the ordinance promulgated by the president. The govt had introduced GST (Compensation to States) Amendment Bill, 2017.

The bill seeks to hike the tax rates or increase the cess levied on various motor vehicles to a maximum of 25 %.Earlier the GST council had decided to increase the cess levied on different motor vehicles after the found out that the GST had granted a huge windfall for the companies .

The government had enacted a law to ensure that states get compensated due to the losses after the introduction of GST and had capped different tax rate for various items.