GST on new tyres remains at 28 percent, bringing disappointment to compan
ies seeking a cut on taxes to fight competition
The Goods and Services Tax (GST) Council on Saturday slashed the rate on retread tyres to 18 percent from 28 percent, being one of the several items that the government sought to make cheaper.
Retread tyres are refurbished tyres on which the worn out tread is replaced using new ones. It caters to the replacement segment. The market of retread tyres is not very big in India, but most tyre-making companies are involved in this business.
GST on new tyres remains at 28 percent, bringing disappointment to more than half a dozen listed and unlisted tyre companies who have been seeking a cut on taxes to fight competition from Chinese companies.
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