New Delhi: The government should stop categorize luxury cars as a detrimental commodity. Rather, the tax burden on such vehicles should be reduced as its manufacturers also play an important role in the country's economic growth. This is believed to be rohit suri, chairman and managing director, Jaguar Land Rover India.
also read From 'Black Budget' to 'Dream Budget', Five Interesting Things To Know
Suri said the heavy burden of tax has curbed the growth of the luxury cars market in the country. If it is to be expensive because they are to be categorized as a disadvantage, it would be 'unlucky' to go to a five-star hotel or wear expensive clothes or shoes. At present, the highest rate on luxury vehicles in the country is the Goods and Services Tax (GST) at the rate of 28 per cent. In addition, there is an additional cess of 20 per cent on the sedan category and 22 per cent on the SUV category. Thus it is 48 and 50 percent tax respectively.
Suri said, "The government considers luxury cars as a detrimental commodity. This causes problems in the market growth. We fail to understand how it is a detrimental object. I can understand that there can be something harmful that harms your health, like a cigarette, but does driving a car affect your health?"
also read Air India's Non-Stop Flights to Toronto, Nairobi and Bali, Know What Will Happen