Tata Motors to Mahindra, carmakers start announcing new car prices after GST rate cut

MAjor automakers including Tata Motors, Mahindra & Mahindra, and Renault republic of india feature proclaimed terms cuts crosswise their passenger vehicle portfolios after the Goods and Services Tax (GST) Council slashed rates on cars and auto components earlier this week.The 56th GST Council decision, effective September 22, reduces the levy on small cars to 18% from the earlier 28%, while bigger cars and SUVs now fall under a flat 40% GST slab without any additional cess. Electric vehicles continue to attract 5% GST.Petrol and diesel cars of bigger engine capacity, which earlier paid nearly 50% tax (28% GST plus 22% cess), will now face 40%. Diesel cars up to 1500 cc and less than 4,000 mm in length will be taxed at 18%. Small motorcycles up to 350 cc also shift to the 18% slab.With the revised tax rates, new prices/reduction in prices are as follows: Mahindra cars after GST cutMahindra & Mahindra on Saturday announced reducing prices of its passenger vehicle range by up to ₹1.56 lakh from September 6 in order to pass on GST rate cut benefit to customers. The revised price of passenger vehicles are as follows:Bolero/Neo: From 31% to 18% – benefit of up to ₹1.27 lakhXUV3XO (Petrol): From 29% to 18% – benefit of up to ₹1.40 lakhXUV3XO (Diesel): From 31% to 18% – benefit of up to ₹1.56 lakhThar 2WD (Diesel): From 31% to 18% – benefit of up to ₹1.35 lakhThar 4WD (Diesel): From 48% to 40% – benefit of up to ₹1.01 lakhScorpio Classic: From 48% to 40% – benefit of up to ₹1.01 lakhScorpio-N: From 48% to 40% – benefit of up to ₹1.45 lakhThar Roxx: From 48% to 40% – benefit of up to ₹1.33 lakhXUV700: From 48% to 40% – benefit of up to ₹1.43 lakhTata Motors cars after GST cutTata Motors was the first automobile manufacturer to announce a cut in prices of passengers good by up to ₹1,55,000. The new prices would come into effect from September 22. The revised prices are as follows: Tiago – up to ₹75,000 reductionTigor – up to ₹80,000 reductionAltroz – up to ₹1,10,000 reductionPunch – up to ₹85,000 reductionNexon – up to ₹1,55,000 reductionCurvv – up to ₹65,000 reductionHarrier – up to ₹1,40,000 reductionSafari – up to ₹1,45,000 reductionRenault cars after GST cut (old price → new price)Apart from Tata and Mahindra, Renault India has also announced reducing prices of its cars by up to ₹96,395. The old and revised rates are as follows:KigerEmotion CVT I L T: ₹11,29,995 → ₹10,33,600Emotion DT CVT I L T: ₹11,29,995 → ₹10,33,600Emotion MT: ₹9,14,995 → ₹8,57,000Emotion DT MT: ₹9,57,995 → ₹8,58,000KwidClimber AMT DT: ₹6,44,995 → ₹5,90,000Climber DT: ₹5,99,995 → ₹5,48,800Climber: ₹5,87,995 → ₹5,37,900RXT AMT: ₹5,99,995 → ₹5,48,800TriberEmotion AMT DT: ₹9,39,995 → ₹8,59,800Emotion AMT: ₹9,16,995 → ₹8,38,800Emotion MT DT: ₹8,87,995 → ₹8,12,300Emotion: ₹8,64,995 → ₹7,91,200The new prices take effect from September 6 for Mahindra cars, while Tata Motors and Renault will implement the revised prices from September 22.Biggest and smallest price reductionsAmong all the revised prices, Tata Nexon offers the highest discount of up to ₹1.55 lakh, closely followed by Mahindra’s XUV3XO Diesel ( ₹1.56 lakh benefit).On the other hand, Tata Curvv records the lowest price cut at ₹65,000, while Renault’s entry-level Kwid sees reductions in the range of ₹49,000– ₹57,000 depending on the variant.The revised rates are expected to boost demand during the festive season, as automakers pass on the full benefit of GST reductions to customers.