The government of India last week announced reforms in the Goods and Service Tax (GST), simplifying the tax structure and limiting it to a lesser number of slabs – 5 percent, 18 percent, and 40 percent. With this, a lot of car manufacturers have also jumped to offer price cuts on their vehicles, passing on the relief to the customers starting September 22.
And since every day we are seeing new discounts and price cuts on cars, it only makes sense to have one place where we tell you everything about all the price cuts that car makers are offering in the wake of the new GST reforms. Let’s take a look:
Tata Motors
Tata has announced that cars across its lineup will become cheaper starting September 22. Their entry-level hatchback, the Tata Tiago will be cheaper by ₹75,000, while the Tata Tigor compact sedan will become ₹80,000 cheaper. The Altroz, one of the most popular hatchback in the country will see a price drop of about ₹1.1 lakh.
Coming to SUVs, the smallest SUV Tata sells is the Tata Punch, which will see a drop of about ₹85,000 and the Tata Nexon will become cheaper by ₹1.55 lakh. Furthermore, the Tata Curvv will be about ₹55,000 cheaper, and the Harrier will see a price cut of ₹1.40 lakh. The Tata Safari, lastly, will become ₹1.45 lakh cheaper.
Mahindra and Mahindra
Coming to the other homegrown brand, Mahindra and Mahindra, here we will see price cuts of above ₹1 lakh across all cars. The Mahindra Bolero and Bolero Neo will be cheaper by up to ₹1.27 lakh, and the XUV 3XO will become ₹1.40 lakh cheaper for the petrol variant and ₹1.56 lakh cheaper for the diesel version.
Coming to the more popular cars, the Thar 2WD will be ₹1.35 lakh cheaper, and the Thar 4×4 will see the same change in price as the Scorpio Classic, where the price is coming down by ₹1.01 lakh. And coming to the most premium trio, the Thar Roxx, the Scorpio N, and the Mahindra XUV 700, all three are getting cheaper by ₹1.33 lakh, 1.45 lakh, and 1.43 lakh, respectively.
Toyota
Japanese giant Toyota has also announced large reductions in its cars in the country. The Forturner will see a price drop of up to ₹3.49 lakh, while the Fortuner Legender will become cheaper by ₹3.34 lakh. Further, the Toyota Vellfire, the brand’s most expensive car will see a price drop of ₹2.78 lakh,and the Toyota Hilux pickup will become ₹2.52 lakh cheaper. The Toyoya Innova Crysta and Innova Hycros will both be cheaper by ₹1.80 lakh and ₹1.15 lakh, respectively.
Furthermore, the Toyota Camry will also become ₹1.01 lakh cheaper, and the Toyota Glanza hatchback will see a price drop of ₹85,300. The Urban Cruiser Hyryder will be ₹65,400 cheaper after the new GST kicks in.
Hyundai
Hyundai is also a popular brand in India. The company has announced price cuts across its lineup of cars. The entry-level Hyundai i10 Nios is expected to see a price drop of about ₹73,800 and the i20 will be cheaper by ₹98,053. The i20 N-Line will become ₹1.08 lakh more inexpensive, and the prices of the Hyundai sedans – Verna and Aura will be reduced by ₹60,640 and ₹78,46, respectively.
Coming to the SUVs, the Hyundai Venue is expected to get cheaper by ₹1.23 lakh (same for the Venue N-line). Furthermore, the Hyundai Exter will get a price cut of ₹89,209 and the Hyundai Creta will become cheaper by up to ₹72,000. The Alcazar, which is the second-most premium Hyundai car in this list will also see a price cut of about ₹75,376 and the Hyundai Tuscon, the brand’s premium SUV will get cheaper by ₹2.4 lakh.
Renault
While the brand may not be as popular as the abovementioned players, but Renault has also been quick to announce the change in pricing with the new GST reforms. The Renault Kwid, Triber, and the Renault Kiger are all becoming ₹96,395 cheaper starting September 22.
Skoda
Skoda, the simply clever brand has also announced benefits with the new GST slabs. The Skoda Kodiaq, which is the most expensive car in the country currently is becoming up to ₹3.3 lakh cheaper with the new GST slabs. The Skoda Kushaq, which is the smaller SUV is also getting cheaper by ₹66,000 with the new GST rules.
The Skoda Slavia, one of the most popular sedans in the country right now is also set to become cheaper by ₹63,000 and the latest in the lineup, the Skoda Kylaq will also see a drop of up to 1.19 lakh in the wake of the new GST reforms.
Mercedes-Benz
Coming to the luxury brands, here also, buyers are looking at benefits in lakhs with the new GST rules. Mercedes Benz has announced that in its lineup of SUVs, buyers will get up to ₹10 lakh relief when buying their cars. The Mercedes Benz GLA will see a drop of ₹3.8 lakh in the price, while the GLC SUV will become ₹5.3 lakh cheaper.
Further, the Mercedes GLE SUVs will become cheaper by up to ₹8 lakh rupees, and the Mercedes Benz GLS will become 10 lakh rupees cheaper starting September 22.
Coming to sedans, the Mercedes A-class is looking at a price drop of ₹2.6 lakh. The C Class (C300 AMG Line) is expected to become ₹2.6 lakh cheaper and the Mercedes E Class is said to see a price drop of up to ₹6 lakh. The flagship sedan, the Mercedes Benz S Class (S450) is going to see the biggest drop in its pricing, coming with a relief of ₹11 lakh in the wake of new GST slabs.
BMW
BMW has also taken the opportunity to alert customers about the upcoming price drops. We will start with the SUVs. The BMW X1 price has been reduced by ₹1.8 lakh, while the BMW X5 is now up to ₹6.3 lakh cheaper. The flagship SUV, the BMW X7, which was earlier priced at ₹1.34 crore (ex-showroom), will not be ₹9 lakh cheaper at ₹1.25 crore (ex-showroom).
In sedans, the BMW 2 series will now be ₹1.6 lakh cheaper, starting at ₹50.60 lakh, down from the previous ₹52.40 lakh. The BMW 3 series will be ₹3.4 lakh cheaper, and the BMW 5 series LWB is getting cheaper by ₹4.1 lakh after the new GST rates kick in.
The government of India last week announced a reform in the GST tax slabs, limiting it to only three slabs – 5 percent, 18 percent, and 40 percent. As per the new framework, smaller vehicles will now attract a straight 18 percent GST, which will include petrol, LPG, or CNG cars with engines below 1,200 cc and a length of 4 meters. For diesel vehicles, up to 1,500 cc engines and sub-4 meter cars are coming under the 18% tax slab.
Larger vehicles will face a higher tax of 40 percent, which will include petrol cars above 1,200 cc and diesel cars above 1,500 cc and more than 4 meters (4,000 mm) in length. The new GST reforms will be effective starting September 22 and will be levied on all cars being sold in the country.
