Gst rate on lease rental of bmw car

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CHIRANJEEVI (Querist)
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01 November 2017 Dear Sir,
Am working in a private company. we have received a bill from the vendor against the BMW car supplied on monthly lease rental basis. This BMW car is for company Managing director.
He charged CGST 9.1%, SGST 9.1 % and cess of 13%. on the lease rental value.
Is the above rates of gst and cess is correct ?
Can you share the soft copy of rates pls.

Thanks & Regards
KCR

CA. Dashrath Maheshwari

CA. Dashrath Maheshwari (Expert)
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01 November 2017 If its just hiring the vehicle than GST would have been 5%. However, for Car leases, different slabs given based on cubic capacity of vehicles.
Under GST, a mid-sized sedan taken on lease will be taxed at the same rate as a new car, i.e. 28% GST+ 15% cess i.e., 43%

CHIRANJEEVI

CHIRANJEEVI (Querist)
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01 November 2017 Can you make it clear what would the rate if it is financial lease.
Is any cess rate for lease in addition to GST rate ?

CA. Dashrath Maheshwari

CA. Dashrath Maheshwari (Expert)
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01 November 2017 I have modified the reply.. please recheck and put further query in case needed.

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