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A two or three-wheeled “battery powered electric vehicle” when supplied with or without battery pack is classifiable under HSN 8703 as an ‘electrically operated vehicle’ and is taxable @ 5% GST.

Authority for Advance Ruling —Rate of GST on the two or three-wheeled battery powered electric vehicle –- The applicant is engaged in battery powered Electric Two Wheelers, as a Dealer. The applicant purchases vehicles and during transportation, the batteries are not fitted with the vehicle though they are transported together. The applicant intends to manufacture similar battery powered electric vehicle. The applicant sought an Advance Ruling as to whether fitting of battery is mandatory in two & three-wheeled battery powered electric vehicles while selling the same to the dealers for getting the benefit of 5% GST rate applicable for electrically operated vehicles. Held that:- The Hon’ble Authority held that the two or three-wheeled battery powered electric vehicle when supplied with or without battery pack is classifiable under HSN 8703 as an ‘electrically operated vehicle’ and is taxable @ 5% GST.
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