Motorcycles of more than 350 cc engine capacity will attract a total of 31 percent tax under the GST regime, same as the tax incidence on private aircraft and luxury yachts. According to the rate structure finalised by the GST Council, all cars, buses, trucks and motorcycles including moped as well as personal aircraft and luxury yachts will attract a peak Goods and Services Tax (GST) of 28 percent. All classes of cars and SUVs as well as motorcycles of more than 350 cc engine capacity will also attract an additional cess. The cess for motorcycles with more than 350 cc engine has been kept at 3 percent, taking the total incidence of taxation to 31 percent. This is the same as that for private aircraft and luxury yachts. Small cars of less than four meter length and with petrol engine of up to 1200 cc will attract 1 percent cess on top of the peak rate. Small diesel cars with engine of less than 1500 cc will be charged 3 percent cess. Mid-sized cars, SUVs and luxury cars will all attract 15 per cent cess, same as that for buses and vans that can carry more than 10 persons. Hybrid cars of more than 1500 cc engine would also attract 15 percent cess. Aerated drinks and lemonade will attract 12 percent cess on top of the peak rate while pan masala gutkha will be charged 204 percent cess on top of the peak rate from July 1, the scheduled date for rollout of the GST. The Centre and states have agreed to impose cess on demerit and luxury goods under the GST regime, over and above the peak tax rate of 28 percent.