Ride apps switch to subscription model amid conflicting rulings on GST liability

Uber has switched to a cash-only model for auto rickshaw rides, joining competitors Namma Yatri, Rapido, and Ola, despite conflicting tax rulings by the Authority for Advanced Ruling (AAR) on whether ride aggregators must continue collecting Goods and Services Tax (GST) from passengers.

Since February 18, after it shifted to a subscription model for its auto drivers, Uber has stopped levying 5 per cent GST on auto rides, a tax it previously collected under its commission-based model.

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