The GOI announced the new GST slab at the 56th GST Council meeting held on September 3, 2025, headed by Minister of Finance Nirmala Sitharaman. As per the GST reform, small cars will enjoy a lower tax slab of 18 per cent. Resultantly, making them cheaper by a fair margin. Meanwhile, the GST slab for the luxury cars is now shifted to 40 per cent, from the 28 per cent bracket they enjoyed earlier. This might sound like a price increase, but the GOI has also dissolved the cess cars, bringing a significant price drop to the SUVs as well.
Tata Motors
Tata Motors has announced the maximum benefit on the Tata Safari, with a price drop of up to Rs 1.45 lakh. The brand has announced that the new prices have come into effect from 8th September 2025.
- Tata Tiago - Rs Rs 75,000
- Tata Tigor - Rs 80,000
- Tata Altroz - Rs 1.1 lakh
- Tata Punch - Rs 85,000
- Tata Nexon - Rs 1.55 lakh
- Tata Curvv - Rs 65,000
- Tata Harrier - Rs 1.4 lakh
- Tata Safari - Rs 1.45 lakh
Mahindra
Mahindra implemented the new prices on its SUV lineup from September 6, 2025. The Mahindra XUV 3Xo (diesel) received the maximum benefit of up to Rs 1.56 lakh under the GST 2.0 structure.
- Mahindra Bolero Neo - Rs 1.27 lakh
- Mahindra XUV 3XO Petrol - Rs 1.4 lakh
- Mahindra XUV 3XO Diesel - Rs 1.56 lakh
- Mahindra Thar - Rs 1.35 lakh
- Mahindra Thar Roxx - Rs 1.33 lakh
- Mahindra Scorpio - Rs 1.01 lakh
- Mahindra Scorpio N - Rs 1.45 lakh
- Mahindra XUV 700 - Rs 1.43 lakh
Skoda
Prospective customers can now avail the benefits of up to Rs 1.19 lakh on the Skoda Kylaq. The brand will implement the new prices of the cars from 22nd September 2025.
- Skoda Kodiaq - Rs 3.30 lakh
- Skoda Kushaq - Rs 66,000
- Skoda Slavia - Rs 63,000
- Skoda Kylaq - Rs 1.19 lakh
Volkswagen
Volkswagen will follow Skoda to roll out the GST benefits from 22nd September, offering up to Rs 3.26 lakh price cut on the Tiguan R Line, Taigun, and more.
- Volkswagen Virtus - Rs 66,900
- Volkswagen Taigun - Rs 68,400
- Volkswagen Tiguan R Line - Rs 3,26,900
Toyota
Toyota Kirloskar Motor (TKM) has announced that it will fully pass on the benefits of the recent GST rate reduction to its customers from September 22.
- Toyota Fortuner - Rs 3.49 lakh
- Toyota Legender - Rs 3.34 lakh
- Toyota Hilux - Rs 2.52 lakh
- Toyota Vellfire - Rs 2.78 lakh
- Toyota Camry - Rs 1.01 lakh
- Toyota Innova Crysta - Rs 1.08 lakh
- Toyota Innova Hycross - Rs 1.15 lakh
Hyundai
Hyundai Motor India has extended the new GST benefits to prospective customers, applying maximum benefits on the Hyundai Venue. However, customers need to wait for the benefit, as the brand's new price list will come into effect from 22nd September.
- Hyundai Nios - Rs 73,000
- Hyundai Aura - Rs 78,000
- Hyundai Exter - Rs 89,000
- Hyundai i20 - Rs 98,000
- Hyundai i20 N Line - Rs 1.08 lakh
- Hyundai Venue - Rs 1.23 lakh
- Hyundai Venue N Line - Rs 1.19 lakh
- Hyundai Verna - Rs 60,000
- Hyundai Creta N Line - Rs 71,000
- Hyundai Creta - Rs 72,000
- Hyundai Alcazar - Rs 75,000
Kia
From September 22nd, the Kia Sonet will be cheaper by up to Rs 1.64 lakh. Also, the newly launched Kia Carens Clavis MPV has received benefits of up to Rs 78,000.
- Kia Sonet - Rs 1.64 lakh
- Kia Syros - Rs 1.86 lakh
- Kia Seltos - Rs 75,000
- Kia Carens - Rs 48,000
- Kia Carens Clavis - Rs 78,000
- Kia Carnival - Rs 4.48 lakh