Center revokes the GST exemption; examine it, says Uber – The New Indian Express

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Through Express news service

BENGALURU: Amid concerns over its effects on drivers and motorists, Uber India has called on the central government to reconsider its decision to collect the Goods and Services Tax (GST) on app-based car journeys. The app-based taxi and rickshaw service called for the decision to be reconsidered, citing difficulties for passengers and drivers. A statement released by Uber said, “This tax will lead to an increase in platform fares and a corresponding drop in demand. Both riders and drivers will lose out in this scenario.

“Lakhs of car drivers across India rely on Uber and other apps for a living. Bikers, especially women and the elderly, like to reserve a car through an app because of the safety and convenience that
comes with. But they also value affordability, ”said a spokesperson for Uber.

The company further said the shift to street-advertised cars means that revenue generated from app-based car taxation will be “marginal at best.”
in just days after the Karnataka Department of Transportation announced a price increase for motorists.
The revocation of the Goods and Services Tax exemption on application-based automotive services will take effect on January 1, 2022.

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