Shares of Hero MotoCorp, Bajaj Auto and TVS Motor gained up to 7% in early trade after FM Nirmala Sitharaman said GST Council would consider the proposal to reduce tax on two-wheelers. Currently, goods and services tax (GST) rate on motorcycles and scooters stands at 28 per cent.
Manufacturers have been urging the government to lower GST rate on motorcycles and scooters arguing that it was not a luxury good.
Hero MotoCorp share price hit a fresh 52 week high of Rs 3,124 rising 5.18% from previous close of Rs 2,971 on BSE. The large cap stock has gained after two days of consecutive fall. The stock opened with a gain of 4.44% at Rs 3,103 today.
Hero MotoCorp share is trading higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages.
Similarly, share price of Bajaj Auto rose up to 4.22% to Rs 3,137 against previous close of Rs 3,010 on BSE.
GST Council may consider proposal to cut tax on two-wheelers
Bajaj Auto share has gained after 2 days of consecutive fall. The stock opened with a gain of 2.06% at Rs 3,072 today.
Stock of another auto major TVS Motor gained up to 7% to Rs 476.85 against previous close of Rs 445.80 on BSE. The stock has gained after 2 days of consecutive fall. It opened with a gain of 5.43% at Rs 470 on BSE. The large cap share is trading higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages.