Centre turns downs Tesla’s call for tax breaks

New Delhi, Feb 04: The Centre has turned down a call by Tesla seeking tax breaks. The Centre said that the rules already allow brining in partially built vehicles and assembling them locally.

While Tesla has been encouraged to produce locally, the company wants India to lower taxes as high as 100 per cent on imported EVs, Bloomberg reported. Tesla however is yet to present a plan for local manufacturing and procurement from India.

It may be recalled that politicians from at least 5 states have invited Tesla to set up shop. Elon Musk however replied to them stating that they were still facing a lot of challenges with the Centre.

Bloomberg while quoiting Vivek Johri the chairman of the Centra Board of Indirect Taxes and Customs said that Tesla should flow the lead of the domestic companies which are investing in building local capacity for electric vehicles. There are others importing completely built units and that is route is open, he also said.