Additional Tax On Diesel Vehicles: As Buying Diesel Vehicles Will Cost You More, The Government Is Considering Imposing An Additional Tax

10% Additional Tax on Diesel Engine Vehicle: Union Road Transport Minister Nitin Gadkari is considering proposing to the Finance Ministry to impose 10% additional GST tax on diesel vehicles. The aim is to divert most of the car buyers towards green energy vehicles. Nitin Gadkari has named this tax as pollution tax. According to him this is the only way to reduce diesel vehicles in the country.

Gadkari further said that, we are requesting the automobile industry to reduce the production of diesel engine vehicles, otherwise it will become necessary to implement this tax. Due to which the sale of these vehicles may face problems.

Addressing 63rd SIAM Annual Convention, New Delhi https://t.co/b3ZH3jGoln

— Nitin Gadkari (@nitin_gadkari) September 12, 2023

However, since 2014, sales of diesel engine vehicles in the domestic market have declined due to revised petrol/diesel prices. Talking about the last financial year, diesel engine vehicles accounted for around 18% of the total sales of these vehicles, which was 53% in FY14.