Differential GST rates on petrol, diesel engines challenged in Delhi HC

Habeas Corpus

The Delhi High Court last Friday issued notice to the Centre in a plea by Honda Siel Power Products Limited, challenging the constitutional validity of imposing a higher rate of Goods and Services Tax (GST) on petrol/kerosene engines than diesel engines.

After the introduction of the GST regime, it was recommended that both the types of engines would be taxed at the rate of 28%. However, pursuant to a meeting held on June 11 this year, the GST Council reduced the tax on diesel engines to . . .

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