While the April 2011 deadline for the application of Goods and services Tax (GST) across the Indian market is still not finalised, SIAM has already started to investigate about its impact on the used car market.

The association has already formed a committee led by Rajeev Dubey, President (HR, After-market and Corporate Services), Mahindra & Mahindra that will analyse the impact of the GST on the pre-owned car market.

However, the committee has had three meeting already and will be ready with a 'position paper' soon.

The motive is to bring a fair structure for the GST that will not impact the used car market adversely.

Once the paper is prepared SIAM is expected to take it up with the government. There is still no clarity on how the GST structure is going to look like. At the first stage, the idea was that there will a central tax on all goods & services.

But now there's a central and a state tax in picture leaving a lot of confusion in the minds of the general public. Notably, there are around 2 million cars that change hands in the used-car market every year.