The GST Exemption Certificate Scheme, by the Department of Heavy Industries, helps orthopedically disabled individuals with a Read More... 40% or more disability get a GST concession on car purchases. Read less
Details
Buying a car can be a significant expense, and for people with disabilities, there are schemes designed to make it more accessible. The GST Exemption Certificate Scheme is one such initiative from the Department of Heavy Industries.
This scheme allows people with orthopedic disabilities to get a certificate that helps them avail a concession on the Goods and Services Tax (GST) when they buy a car. Essentially, it reduces the tax burden on vehicle purchases for eligible individuals.
The scheme is specifically for Persons with Disabilities (PwDs) who have an orthopedic disability of 40% or more. It doesn't matter if they drive the car themselves or if someone else will be driving it for them.
Having your own vehicle can significantly improve mobility and independence for individuals with disabilities. This scheme aims to make that a reality by offering substantial financial relief through GST concessions, making car ownership more achievable.
Objective
Benefits
Note:The grantees are expected to conduct further research on the topic either at home institution or at the SITARE Partner’s lab. SITARE Partner can extend mentoring and other support required for the same.
Travel/Accommodation:
The following expenses will be covered for student participants:
• Class II Rail fare and local travel expenses
• Hostel accommodation
• Breakfast, lunch, dinner
• Shuttle facility from hostel to project site
Other activities:
SITARE Partner is encouraged to provide mentoring to BIIS participants by organizing invited talks by experts from institutions such as but not limited to TiE, BREC, Management schools, etc., and may undertake tour(s) to nearby reputed colleges/institutions/incubation centres.
Sources and references
To apply for the GST Exemption Certificate, you typically need to follow these steps:
Official Link for Application (Check for latest updates): You can find more information and potentially apply online through the Department of Heavy Industries' official website or related portals.
Special Note: If you don't have the standard medical certificates mentioned, you'll need a duly filled Annexure B, signed by an orthopaedic doctor and a civil surgeon rank officer, along with their seals, names, and registration numbers.
What if I don't drive the car myself? Can I still apply?
Yes, absolutely! The scheme is for orthopedic persons with 40% or more disability, regardless of whether they drive the vehicle themselves or not.
How do I prove my disability for the application?
You need to provide either your Unique Disability ID (UDID) card or a Disability Certificate from a Central, State, or District government authority. Make sure it has the proper signature, seal, name, and registration number of the issuing officer.
What are the rules for the car's engine capacity and size?
The car should be 4 meters or shorter. For petrol, LPG, or CNG engines, the capacity should be up to 1200 cc. For diesel engines, it can be up to 1500 cc.
I missed the 3-month deadline to buy the car after getting the certificate. What now?
If you miss the three-month window to buy the car after the certificate is issued, you won't be able to use that certificate for the concession. You might need to reapply for a new certificate.
How much GST concession will I actually get?
You'll receive a 10% concession on GST. This means you'll pay 18% GST and zero cess, instead of the normal 28% GST plus cess on the car's price.
Is there a special format for the self-declaration form?
Yes, it's best to use the prescribed format for your self-declaration. This ensures all the required information, like not having availed the concession recently and the commitment not to sell the vehicle for 5 years, is included correctly.
What happens if I sell the car within 5 years of buying it with the GST concession?
You are not supposed to dispose of the vehicle for a period of 5 years from the purchase date. If you do, you might face penalties or other consequences as per the scheme rules.
How long does it take to get the GST exemption certificate?
The Department of Heavy Industries aims to issue the certificate within one month after receiving your application, provided all the documents are complete and correct.
What should I do if I face technical problems while applying online?
If you encounter any technical difficulties during the online application process, please reach out to the support or helpdesk provided by the department for assistance.
Is the scheme valid for both new and second-hand cars?
The scheme details the specifications for eligible vehicles but does not specifically differentiate between new or used cars in its guidelines.
Can I save my online application and finish it later?
Yes, you can save your application as a draft in your User Dashboard and come back to complete it at another time before final submission.
What's the purpose of the OTP during registration?
The OTP (One-Time Password) is sent to your registered mobile number for verification. It helps confirm that your contact information is correct and valid.
What are the password requirements for online registration?
Your password needs to be at least 8 characters long and must include a mix of uppercase letters, lowercase letters, numbers, and special characters.
Can I apply for this if my disability certificate is from a district-level authority?
Yes, as long as the disability certificate is from a Central Govt./State Govt./District Govt. and bears the proper signature, seal, name, and registration number of the issuing authority.