In a relief to car manufacturers, the Revenue Department, on Wednesday, clarified that Maruti SX4 and Toyota Corolla Altis would attract lower excise duty of 27 per cent and not the higher levy prescribed for sports utility vehicles (SUVs).

“...it is clarified that the afore-cited motor vehicles (Maruti SX4, Honda Civic and Toyota Corolla Altis), which are known as sedans, will attract the excise duty of 27 per cent as applicable to large segment cars,” the CBEC said in a circular. The clarification was sought by car makers as several large sedans have similar technical specifications as that of the SUVs. — PTI