New Delhi: The Goods and Services Tax (GST) Council has approved an exemption from Integrated GST (IGST) and compensation cess for a new BMW car being imported for President Droupadi Murmu.

The armoured sedan, priced at ₹3.66 crore, will replace the President’s current Mercedes-Benz S600 Pullman Limousine.

Why was the exemption given?

Officials explained that the decision was taken because the President’s vehicle is not viewed as a luxury product but as a “strategic asset” vital for the head of state’s security.

Normally, importing a high-end car involves heavy taxation, including 28% IGST, basic customs duty, and additional cess. However, in this case, the fitment committee of the GST Council recommended that the taxes be waived.

How was the exemption approved?

Since GST is a shared tax between the Centre and states, the Council’s approval was essential. The exemption reflects joint coordination, ensuring that the President’s Secretariat can acquire the vehicle without bearing the additional tax burden.

Such waivers are unusual and are generally considered only for specific, non-commercial purposes in the wider public interest.

What about the current vehicle?

The President’s current car, the Mercedes-Benz S600 Pullman Guard, is a custom-built armoured limousine. It comes fitted with several high-security features, including ballistic and blast protection, reinforced flooring, multi-layered bulletproof glass, a self-sealing fuel tank, and even an independent oxygen supply system.

What to expect from the new BMW?

While specific details of the new BMW’s features have not been disclosed, it is expected to match or exceed the advanced protective capabilities of the Pullman Guard, ensuring the highest level of safety for the President.