New Delhi,It refers to Union Finance Minister expressing, and rightly too, that automobile-sector is mainly hurt due to increasing culture of use of private taxis Ola and Uber. This culture together with use of auto-rickshaws should be encouraged to check ever-increasing congestion on roads and parking sites rather than concentrating on giving reliefs at cost of public-exchequer to non-priority automobile-sector if it is hit by economic slow-down.
Raising depreciation on vehicles to 30-percent will cause less revenue from Income Tax. Lifting curbs on purchase of new vehicles by government-departments that too at cost of public-exchequer may prove boon for government-officers to purchase costly SUVs for their use. Even any suggested cut in GST-rate will be a further unnecessary loss to public-exchequers.
Instead government should advise car-manufacturers to concentrate on production of economical small cars and auto-rickshaws, and approaching Apex Court to remove capping on number of auto-rickshaws in cities like Delhi. This will generate much-desired competition amongst auto-rickshaws to readily accept going to desired destinations that too on fixed fares so that more and more people will prefer travelling by auto-rickshaws rather than using cars. Car-manufacturers can also be encouraged to produce metro-coaches not only for domestic use but also for export.