GST on Assistive Devices for Persons with Disabilities: Concessional Rates Retained, Vehicles Still at 18% [Read Lok Sabha Document]

The Ministry of Finance has clarified in Parliament that most assistive devices and rehabilitation aids for persons with disabilities continue to attract a concessional Goods and Services Tax (GST) rate of 5%, while hearing aids remain fully exempt. However, small petrol and diesel vehicles modified for persons with orthopedic disabilities continue to be taxed at 18%.

Members of Parliament raised questions about the withdrawal of earlier rebates and discounts of up to 10% on assistive devices, and sought clarity on whether the government would rationalize or eliminate GST on essential aids.

The Minister of State for Finance, Pankaj Chaudhary, explained that the GST rates are notified based on recommendations of the GST councils, a constitutional body comprising representatives from both union and state council.

Current GST rates

• Devices at 5% GST: it applies to a wide range of aids including Braille writers and Braille writing instruments, Electronic measuring equipment, speaking or Braille calculators, wheelchairs falling under heading No. 87.13 of the First Schedule of the Customs Tariff Act, 1975, prosthetics, orthopedic appliances, talking books, thermometers, audiometers, stair lifts, implants, retro-fitment kits for vehicles, and technical aids for education and rehabilitation of the blind.

• 0% GST(Nil Rate): Hearing aids and their parts are fully exempt.

• 18% of GST: Small petrol/diesel-driven motor vehicles for use by persons with orthopedic physical disability attract a GST rate of 18%.

In its 56th meeting held on September 3, 2025, the GST Council rationalized the overall tax structure into a simpler two-rate system and reduced GST on small petrol/diesel vehicles from 28% to 18%. But, it did not recommend any change to the GST rate on vehicles for persons with disabilities, which continues at 18%.

The Government confirmed that it has received representations from disability rights organizations and other stakeholders seeking exemptions or further concessions, particularly on vehicles and wheelchairs. However, it emphasized that any rate change can only be made based on the GST Council’s recommendations.

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