This scheme, by the Department of Heavy Industries, offers a GST concession on car purchases for individuals Read More... with disabilities (40% or more). Read less
Details
The Indian government, through the Department of Heavy Industries, has introduced a beneficial scheme to help persons with disabilities (PwDs) purchase vehicles. The GST Exemption Certificate Scheme aims to provide financial relief by offering a concession on the Goods and Services Tax (GST) when buying a car.
The GST Exemption Certificate Scheme is designed to help individuals with disabilities get a price cut on purchasing a car. It allows eligible persons to receive a certificate that reduces the GST they have to pay on a new vehicle. This scheme is specifically for orthopedically disabled persons who meet the required disability percentage.
The scheme is for individuals who have an orthopedic physical disability of 40% or more. Whether you drive the car yourself or have someone else drive it for you, you can apply for this benefit. The scheme also specifies certain criteria for the car itself, including engine capacity and length.
Purchasing a car can be a significant expense, especially for individuals with disabilities. This scheme provides crucial financial assistance by reducing the tax burden, making vehicle ownership more accessible. The concession not only lowers the upfront cost but also eases the financial strain associated with buying essential transportation.
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
NOTE: If you do not have a medical certificate from the authorities mentioned above, you will need a duly filled Annexure B. This must be signed and countersigned by an orthopedic doctor and a civil surgeon rank officer, respectively, with their seals, names, and registration numbers mentioned.
What if I can't get the specified medical certificate?
If you don't have a UDID card or a standard disability certificate, you can submit Annexure B. This form needs to be filled and signed by an orthopedic doctor and a civil surgeon rank officer, along with their official seal, name, and registration number.
Can I buy any car with this scheme?
No, the car must meet certain specifications. It should be 4 meters or less in length. For petrol, LPG, or CNG, the engine capacity should not exceed 1200 cc, and for diesel, it should not exceed 1500 cc. Both manual and automatic transmission cars are eligible.
What are the password requirements for online registration?
When creating a password for online registration, it needs to be at least 8 characters long and include a mix of characters: one lowercase letter, one uppercase letter, one number, and one special character.
How long do I have to wait to get the exemption certificate?
Generally, the certificate is issued within one month after the Department of Heavy Industries receives your application, provided it's complete with all necessary documents.
What happens if I sell the car within 5 years of getting the GST concession?
The scheme requires you to keep the vehicle for at least 5 years after availing the GST concession. If you sell it before this period, you might face penalties or other consequences.
Does it matter if I drive the car myself or someone else drives it for me?
No, it doesn't matter. The scheme is available for orthopedic persons with disabilities regardless of whether they drive the vehicle themselves or have someone else to drive it for them.
Can I save my online application and finish it later?
Yes, you can save your online application as a draft in your User Dashboard. This allows you to complete it at another time before submitting.
What should I do if I encounter technical problems while applying online?
If you face any technical difficulties during the online application process, it's best to reach out to the provided support or helpdesk for assistance.
How is the 10% GST concession calculated?
The concession effectively reduces the GST rate on eligible cars from 28% to 18%. You also don't have to pay any applicable cess.
What is the purpose of the OTP in the registration process?
The OTP (One-Time Password) is used during registration to verify your contact details, ensuring that the information you've provided is correct and yours.
What if my disability certificate is issued by a district government?
A disability certificate from a district government is acceptable, as long as it has the proper signature and seal of the issuing authority. Their name and registration number must also be clearly mentioned on it.
What is the validity period of the exemption certificate?
The GST exemption certificate you receive is valid for a period of six months from the date of its issuance.
What happens if I don't buy the car within the validity period of the certificate?
The certificate is valid for three months for purchasing the vehicle. If you miss this window, you will not be able to get the concession and might need to reapply.
Do I need a specific format for the self-declaration, or can I write it myself?
It's recommended to use the prescribed format for the self-declaration statement, as specified in Annexure C. Using the correct format ensures that your declaration meets all the scheme's requirements.