Karnataka fixes extra 5% plus GST for auto services run by ride-hailing apps

Karnataka’s department of transport and road safety fixed a 5 per cent service charge plus Goods and Services Tax (GST) on Friday for autorickshaw services offered by ride-hailing apps.

The government allowed the app-based aggregators to charge the minimum fare of Rs 30 for the first 2km, a 5 per cent service charge and GST for their autorickshaw services.

According to a senior official, the department filed an objection in the Karnataka High Court on November 16 to the ride-hailing apps’ proposal to increase the service charge for their autorickshaw services.