Uber and Other Ride-Hailing Apps Seek Government Clarity on GST Liability

Uber and other ride-hailing apps are seeking clarity from the Indian government regarding their GST liability. This follows the tax authorities' decision to impose a 5% GST on auto-rickshaw services provided through ride-hailing platforms, which were previously exempt. The ride-hailing companies argue that their services facilitate urban mobility and should not be taxed differently than traditional auto-rickshaws. They also highlight the lack of uniformity in tax regulations across states, complicating compliance. The companies have reached out to the government to address these issues, seeking a consistent and clear policy. This move aims to ensure that the burgeoning ride-hailing sector operates smoothly without ambiguous tax obligations.