Lower GST on bicycles from 12% to 5%: Makers to govt
Industry leaders argue that a GST reduction on complete bicycles would spur demand, reduce tax evasion, and strengthen the manufacturing base.
Harsimranjit Singh Lucky, president of the United Cycle and Parts Manufacturers Association (UCPMA), emphasised the need for urgent relief to the sector. "We demand that GST on finished bicycles should be reduced from 12% to 5%, and that the govt should also address the delay in receipt of SGST and CGST refunds.
Genuine businesses need timely input credit. A GST cut to 5% will help reduce burden on consumers and promote local manufacturing," he said.
The revision, manufacturers said, would encourage green mobility, reduce costs for consumers, and simultaneously support govt revenue with lower taxation.
Drawing attention to the issues being faced by the manufacturing sector, Harsimranjit Singh Lucky said, "We had a meeting with cabinet minister Sanjeev Arora in this regard.
by Taboola
by Taboola
Sponsored Links
Sponsored Links
Promoted Links
Promoted Links
You May Like
Pune: Unsold Furniture Liquidation 2024 (Prices May Surprise You)
Unsold Furniture | Search Ads
Learn More
Undo
He assured us that he would hold a separate meeting on the issues we are facing and ensure that they are resolved at the earliest." He also said the industry had high hopes after Arora became the industry minister, and also because of the fact that he is from Ludhiana.
He explained that the industry has a differentiated tax structure, where bicycle parts remain taxed at 12% but finished bicycles attract only 5% GST. Currently, while parts are taxed at 18%, complete bicycles are placed in the 12% GST slab.
Manufacturers argue this imbalance creates compliance issues and restricts competitiveness.
They reiterated that lower GST on bicycles would help reduce tax evasion and result in benefits to the govt as well. It would help fight against the unorganized and grey-market trade by making legitimate products more price-competitive, they said.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
&w=3840&q=100)
Business Standard
25 minutes ago
- Business Standard
India's top 18 states' revenues to edge up 7-9% in FY26, says CRISIL
India's 18 largest states, accounting for over 90 per cent of the country's gross state domestic product (GSDP), are likely to record a marginal uptick in revenue growth of 7–9 per cent in FY26, compared to the 6.6 per cent growth seen in FY25, according to a report by rating agency CRISIL on Tuesday. This growth, slower than the decadal average of about 10 per cent, is expected to lift these states' cumulative revenue to approximately ₹40 trillion in FY26, up from ₹37.26 trillion in FY25. The anticipated uptick in state revenues will mainly be driven by steady Goods and Services Tax (GST) collections and continued support from the Centre through tax devolutions and grants. States' own tax revenues, which make up about 52 per cent of their total income, are projected to grow by roughly 8 per cent in FY26, reaching ₹21.08 trillion. Within this, GST collections, which account for the largest share, are expected to grow 9-10 per cent to ₹9.18 trillion, slightly lower than the 10.2 per cent increase observed last year. 'While better tax compliance and the continuing shift in economic activity from the unorganised to the organised sectors are expected to support GST revenue, subdued domestic consumption and inflation could dampen growth and pose a downside risk to that expectation,' said Anuj Sethi, Senior Director at CRISIL Ratings. Revenue from liquor sales is also projected to grow 9-10 per cent, reaching ₹4.17 lakh crore, driven by a combination of rising consumption and higher excise duties. On the other hand, revenue from petroleum taxes is expected to rise by just 2 per cent to ₹2.87 trillion. Other sources, such as states' non-tax revenue, are also expected to grow slowly at around 4 per cent. The 18 states include Maharashtra, Gujarat, Karnataka, Tamil Nadu, Uttar Pradesh, Telangana, Rajasthan, West Bengal, Madhya Pradesh, Andhra Pradesh, Kerala, Odisha, Punjab, Bihar, Chhattisgarh, Haryana, Jharkhand, and Goa. After a contraction of about 10 per cent last fiscal year, grants-in-aid from the Centre are expected to recover, with projected growth of 3-4 per cent. This rebound is attributed to increased outlays for centrally sponsored schemes and local body grants, as outlined in the latest Union and state budgets. The report also noted that states will continue to benefit from central tax devolutions, which are expected to grow 11-12 per cent this year, following a nearly 14 per cent increase in FY25. 'Rising gross tax collections, supported by growth in income tax and GST collections, remain a key driver,' said Aditya Jhaver, Director, CRISIL Ratings. CRISIL's projections depend on steady nominal GDP expansion and could be affected by uncertainty in global markets, weak domestic demand, and inflation trends. However, states could outperform projections if tax buoyancy exceeds expectations or if there is stronger central government support. 'To ensure sustainable revenue growth, states will have to focus on expanding their own revenue and improving collection efficiency,' the report concluded.
Time of India
30 minutes ago
- Time of India
Tej dares RJD to act against MLA
Patna: Former minister Tej Pratap Yadav , elder son of Lalu Prasad, on Tuesday challenged the RJD leadership to take action against its MLA Bhai Birendra over a viral audio clip in which he is allegedly heard threatening a govt official. "I was expelled from the RJD under a conspiracy by betrayers. But will the RJD show similar strictness against Bhai Birendra?" Tej Pratap asked in a post on social media. Accusing the party of double standards, he said, "Respect for the Constitution must be reflected in action, not in speeches." He alleged that Bhai Birendra had made derogatory remarks against members of the scheduled castes and scheduled tribes (SC/ST) community and even issued death threats to the official over the phone. The controversy erupted after Bhai Birendra, an RJD MLA, allegedly used abusive language in a telephonic conversation with a panchayat secretary. Although the MLA has since expressed regret for his remarks, he denied making any casteist slurs during the exchange. Tej Pratap, who was expelled from the RJD two months ago, is said to have been angered by what he sees as selective disciplinary action. His expulsion followed a social media post in which he disclosed his relationship with a young woman, prompting the RJD chief to suspend him from the party for six years. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Bulk buying rush at Mannings! 40+ men hair changed KAMINOWA Learn More Undo In a recent sign of widening rifts within the Yadav family, Tej Pratap unfollowed several of his sisters on the social media platform X, just ahead of the Rakshabandhan festival. This public move has further fuelled speculation of internal discord. According to those close to him, Tej Pratap is considering contesting as an Independent candidate from Mahua, the assembly seat in Vaishali district that he won in 2015. In 2020, he shifted to Hasanpur in Samastipur district. Mahua is currently represented by RJD MLA Mukesh Kumar Raushan, who has been actively cultivating his constituency over the past five years. If Tej Pratap enters the electoral fray from Mahua, it could lead to a split in the vote share, potentially clearing the path for a third contender to emerge victorious, political observers said.
Time of India
40 minutes ago
- Time of India
Lenskart's files Rs 7,500-8,000 cr IPO papers with Sebi
BENGALURU: Lenskart Solutions is gearing up for one of the largest consumer-tech listings of the year, with its initial public offering (IPO) expected to raise between Rs 7,500 crore and Rs 8,000 crore, people aware of the matter said. The final size will depend on valuations at the time of listing. The company filed its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (Sebi) on Tuesday. The IPO consists of a fresh issue of shares worth Rs 2,150 crore and an offer for sale (OFS) of up to 13.23 crore shares by existing investors and promoters. A pre-IPO placement of up to Rs 430 crore has also been proposed, which could reduce the fresh issue size. Proceeds from the fresh issue will be used for the expansion of company-owned (CoCo) stores in India (Rs 272.62 crore), lease-related payments (Rs 591.44 crore), technology and cloud infrastructure (Rs 213.38 crore), and brand marketing (Rs 320.06 crore). The remainder will be allocated for inorganic acquisitions and general corporate purposes. As of March 31, 2025, Lenskart operated 2,723 stores globally, including 2,067 in India and 656 overseas. Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Remember Him? Take A Deep Breath Before You See Him Now The Noodle Box Undo by Taboola by Taboola The company sold 27.2 million eyewear units in FY25, up from 21.2 million in FY24 and 15.9 million in FY23. Annual transacting customer accounts rose from 7.7 million in FY23 to 12.4 million in FY25, while its paid membership program, Lenskart Gold, reached 6.77 million members in India. Financially, the company swung from losses to profitability in FY24. In FY25, Lenskart reported revenue of Rs 6,653 crore, up from Rs 5,428 crore a year ago. Net profit rose more than fivefold during the same period, from Rs 59 crore to Rs 297 crore, driven by operating leverage and higher repeat purchases. Lenskart's apps have seen more than 100 million cumulative downloads, while its websites drew 105 million visitors in FY25. New customers, on average, purchased 3.62 pairs of glasses within two years, the filing revealed. The case of the missing degree Buried in Lenskart's DRHP is an oddly specific risk: one of its promoters, Sumeet Kapahi, who also heads global sourcing at the company, can't find his (Hons) degree or marksheets from the University of Delhi. He has emailed, written letters, and even applied through the university's online portal, but is still waiting for a response. Until then, Lenskart and its bankers have relied on the certificates he submitted for the IPO filing. The company admits there's no guarantee the university will ever send the documents, making this one of the more unusual disclosures in a multi‑thousand‑crore IPO draft. Stay informed with the latest business news, updates on bank holidays and public holidays . Discover stories of India's leading eco-innovators at Ecopreneur Honours 2025
