Budget 2022/23: Excise Duty And Customs Reduction For Car Manufacturing Industries

The Government is committed to promoting the establishment of vehicle manufacturing and assembling industries. Presenting the budget for the fiscal year 2079/80 today, Hon. Finance Minister Janardan Sharma has announced that the government will provide incentives for companies looking to establish an electric four-wheeler industry in the country.The government has announced to provide a 40 percent income tax exemption for electric car assembling industries on their earnings for five years.  Similarly, companies looking to assemble combustion engine cars will get a waiver of 50 percent on the excise duty and 25 percent on customs duty. Moreover, companies manufacturing electric scooters will only attract a 1 percent tax.