GST 2.0 brings immense excitement amongst car buyers, dealers

LUCKNOW/MALKANGIRI (ODISHA) — A wave of excitement is sweeping across showrooms after the implementation of the new GST reform, with a sharp rise in customer footfall and vehicle sales.

Shabir, who booked a Hyundai Creta, told IANS that the revised GST rates helped him save nearly Rs 70,000–Rs 80,000. Ram Singh, another buyer, said that companies are now passing on the full GST benefits to customers. He purchased a Hyundai i10 and saved about Rs 70,000 compared to the earlier price.

According to Asim, Assistant General Manager at a Hyundai dealership in Lucknow, the reform has received an overwhelmingly positive response. "The number of first-time buyers is rising, and with the GST benefits fully passed on, prices have come down significantly," he said.

Other cities exhibit a similar level of enthusiasm.

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Customers in Odisha's Malkangiri reported that lower GST rates have made cars and two-wheelers more reasonably priced than they were previously.

With effect from September 22, the new GST rates have reduced the tax to 18 per cent for gasoline vehicles up to 1,200cc and under four meters in length and diesel vehicles up to 1,500cc and under four meters.

Previously subject to 50 per cent GST, larger vehicles will now only be subject to 40 per cent. The tax rate for two-wheelers up to 350cc has been lowered from 28 per cent to 18 per cent.

Meanwhile, shopkeepers, wholesalers and every Indian household responded overwhelmingly to the GST 2.0 reforms, which went into effect on Monday.

The reformed tax regime, which coincided perfectly with the first day of Navratri, provided the general public with immediate relief on daily necessities, simplified slabs, and reduced prices.