Tractor Manufacturers Wants Rate Cut in GST by 18%.
Tractor Manufacturers Association (TMA) said, "The present levy is of 28 per cent GST on parts and components of tractors but parts and components of construction equipment, which are close kin to tractors especially under 80 HP, will attract only 18 per cent GST."
Sating that the farm sector has been "short-changed under the new GST rules" in terms of components and spares of tractors, TMA said GST rate on tractor parts and components must be revised to 18 per cent.
Parts of tractors, equipment and implements can be easily identified and used only in tractors and are not usable in automobiles which are high-speed applications as opposed to tractors which are low-speed, high-torque applications.
Tractor manufacturers were also upset over transition provision on stocks held at depots and dealerships.
With hardly few days to go for GST regime, any delay in extending transition provision could increase tractor costs by Rs 30,000-34,000, it added.