55th GST Council Meet: Old Vehicle Sales Tax Raised to 18%

The 55th GST Council meeting saw a key decision to increase the tax on the sale of old vehicles to 18%. This decision was taken after discussions on the economic impact of such sales, which were previously taxed at a lower rate. The Council noted that the increased tax would help align the sector with broader GST policy goals, including simplifying the tax system and generating additional revenue. While the decision has sparked concerns among vehicle dealers and buyers, the move is expected to bring greater uniformity and fairness to the taxation of old vehicles, promoting long-term policy consistency.