Latest News – Cab aggregators such as Ola and Uber, as well as their drivers might have to pay twice the amount of tax on leasing under the GST regime, making the whole business model unsustainable, claim companies. According to industry experts, lease rentals could rise from 14.5 per cent at present to anywhere between 29 per cent and 43 per cent.
According to Orix India, a leasing finance company wholly owned by Orix Japan, as the tax on services will increase from 15 per cent to 18 per cent, there will be a direct increase in the cost for establishments that give transportation facility to their employees or rented cars to their management.
“The cost of cars that were leased during pre-GST and the EMI being paid post-GST will become more expensive. The cost of EMIs on such cars will go up as much as up to 30 per cent. It is (Read More)