India is capable of emerging as a hub for the production of electric vehicles (EVs), iFinance minister Nirmala Sitharaman said. Sitharaman, while presenting the Union Budget 2019 in the Parliament said GST rate on electric vehicles to be reduced to 5 percent from 12 percent. "Rs 1.5 lakh tax subsidy to tax payers taking loans to buy electric vehicles," she said. The Finance Minister also said custom duty has been exempted from certain parts of e-vehicles and some other electronic products. Click here for LIVE updates of Union Budget 2019 Also Read | Comprehensive restructuring of National Highways Programme will be done, says Sitharaman Also Read | Sagarmala, Bharatmala and UDAN bridging rural-urban divide, says Sitharaman Also Read | Government raises income tax exemption limit on home loans by Rs 1.5 lakh Also Read | 2 per cent TDS on cash withdrawal exceeding 1 crore in a year ALSO READ | Govt to launch 'Study in India' programme to attract foreign students ALSO READ | Government will invest widely in agri infrastructure: Sitharaman ALSO READ | No PAN card? No worries: Now you can use Aadhaar card for filing income tax
![India is capable of emerging as a hub for the production of electric vehicles (EVs) [Representational image]](https://resize.indiatvnews.com/en/resize/newbucket/360_-/2019/07/electric-cars-ap-1562313557.jpg "India is capable of emerging as a hub for the production of electric vehicles (EVs) [Representational image]")