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GST Council's fitment committee clarity on SUV ground clearance soon

A ground clearance (also known as ride height) of above 170 millimetre (mm) is one of the three key parameters for categorising a UV and attracting a 22 per cent compensation cess

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4 min read Last Updated : Aug 17 2023 | 11:26 PM IST

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The Goods and Services Tax (GST) Council’s fitment committee, composed of revenue officials from both the Centre and states, is expected to provide an explanation of the “ground clearance”criterion and its implementation in the context of utility vehicles (UVs) for purposes of taxation.

A ground clearance (also known as ride height) of above 170 millimetres (mm) is one of the three key parameters for categorising a UV and attracting a 22 per cent compensation cess.

In its July meeting, the GST Council decided that all UVs, including sports utility vehicles (SUVs) and multi utility vehicles (MUVs) — regardless of their

Topics : SUVs GST

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