Uber increases fares in India due to service tax changes


Uber

Uber has announced increase in fares across all its services that includes, uberBlack, uberX and its cheapest uberGO across India. This price hike is due to service tax implemented by Finance Minister, Arun Jaitley in the recent Union Budget for web based software application and a communication device allowing customer to connect with persons providing service of a particular kind under the brand name or trade name. Service tax will be levied on the total fare and not just the commission being earned by the aggregators for every ride, he had said in the budget.

Regarding the price hike and service tax, Uber said:

In the Union Budget 2015-2016 presented by Honbl. Finance Minister, Mr. Arun Jaitley, an amendment was made to Service Tax rules. This change requires Uber – as an aggregator, on behalf of driver-partners – to collect and remit service tax on fares for all rides on the platform.

Accordingly, our fare structure has been revised to cover service tax applicable. Tax collected will be transferred to the Government of India. The fares you see in-app, on our website and on your ride receipts will be all-inclusive, as always. If you’d like an invoice with a tax breakdown, please download it by following the link in your ride receipt or visit riders.uber.com and login with your Uber credentials.

Uber slashed fares up to 40% in India back in February to compete with others in a growing market. Even after hike, Uber still remains a tough competitor to OLA, TaxiForSure, Meru and others. It recently launched UberAUTO service in Delhi. New rates are applicable from today, April 21, 2015. Check out the new rate chart across different cities below.

UberGo Ahmedabad (Rs.) Bangalore (Rs.) Chandigarh (Rs.) Chennai (Rs.) Hyderabad (Rs.)
Base Fare 20 35 25 40 25
Per Kilometre 7 7 5 8 7
Per Minute 1 1 1 1 0.95
Minimum Fare 40 50 40 80 50
UberGo Jaipur (Rs.) Kolkata (Rs.) Mumbai (Rs.) New Delhi (Rs.) Pune (Rs.)
Base Fare 22 30 45 40 35
Per Kilometre 7 9 8 7 8
Per Minute 1 1 1 1 1
Minimum Fare 35 45 60 60 50

 

UberX Ahmedabad (Rs.) Bangalore (Rs.) Chandigarh (Rs.) Chennai (Rs.) Hyderabad (Rs.)
Base Fare 30 40 33 40 45
Per KM 7 8 7 9 9
Per Min 1 1 1 1 1
Min Fare 50 75 50 80 80
UberX Jaipur (Rs.) Kochi (Rs.) Kolkata (Rs.) Mumbai (Rs.) New Delhi (Rs.) Pune (Rs.)
Base Fare 25 35 40 70 55 35
Per KM 8 7 9 10 9 9
Per Min 1 1 1 1 1 1
Min Fare 40 50 80 100 80 50

 

uberBLACK Bangalore (Rs.) Chennai (Rs.) Mumbai (Rs.) New Delhi (Rs.) Pune (Rs.)
Base Fare 60 100 100 85 105
Per Kilometre 13 18 13 12 15
Per Minute 2 2 1.5 1.5 2
Minimum Fare 120 150 150 125 150

Author: Srivatsan Sridhar

Srivatsan Sridhar is a Mobile Technology Enthusiast who is passionate about Mobile phones and Mobile apps. He uses the phones he reviews as his main phone. You can follow him on Twitter and Instagram