Water bus stuck at customs for lack of clarity on duty:Gadkari

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Press Trust of India New Delhi
Last Updated : Apr 10 2017 | 5:28 PM IST
Should an amphibian vehicle that can ply on both land and water be considered a bus or a ship for taxation purposes?
That is the question for which this 'water bus' is stuck at the customs due to the lack of clarity on the issue, Transport Minister Nitin Gadkari said in Lok Sabha today.
While the transport ministry insists that it is a bus and should be taxed at 45 per cent, the customs department wants to levy a duty a higher duty of 225 per cent, arguing that it is a ship.
"We are going to go for a big change in the transport sector. We are getting a bus which can run both over road and water. We (Centre) have ordered a water bus. But it is lying with the Customs," Gadkari said while replying to a discussion on the Motor Vehicle (Amendment) Bill 2016.
"The Customs are asking for a duty of 225 per cent as they say it is a ship, while we are saying that there should be a 45 per cent duty on it as it is a bus," he said.
Punjab, he said, has already bought water bus, while states like Telangana have placed orders for it.
The minister further said the Prime Minister has made a "big plan" for the transport sector "which we will try to implement.

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First Published: Apr 10 2017 | 5:28 PM IST

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