The Auto companies are adjusting the prices of their products due to GST (goods and services tax) before and after effect. Previously many car companies had offered many benefits to the customers before GST implement and the offer had ended on June 30, but once again the car companies have come to the ground with new offers.
Under the GST rates, cars will attract the top rate of 28% with a cess in the range of 1 to 15% on top of it. The small petrol cars with less than 1,200 cc engine will attract 1% cess, while the diesel car with less than 1,500 cc engine will attract 3% cess.
Big cars with greater than 1,500cc engine and SUVs with length more than 4 meters and engine greater than 1,500cc will attract cess of 15% over and above peak rate of 28%.
The tax incidence on cars ranged between 28% and 45% earlier. Under the implemented GST, the maximum rate is 43%.
Here’s how companies are reacting to the GST rollout:
Car Company Toyota has introduced benefits of Rs. 38 thousand to Rs. 2.69 lakhs on its cars. All of these cars have dual-front SRS airbags and equipped with ABS and Pre-Tensioner Force Limiter (PTFL).
Toyota car discount after GST
- Etios Liva benefit upto Rs. 26,000
- Etios Cross benefit upto Rs. 38,000
- New Platinum Etios benefit upto Rs. 39,000
- Corolla Altis benefit upto Rs. 1.25 lakh
- Innova benefit upto Rs. 1.34 Lakh
- Fortuner benefit upto Rs. 2.69 lakh
Maruti Suzuki car discount after GST
Maruti Suzuki India is giving discount on its small cars including WagonR, Alto 800 and Celerio. While the discount on the Ertiga diesel model up to Rs. 20,000, currently the showroom price of this utility vehicle is Rs. 6,15,826.
Compact small car Celerio is being given a discount of 25 thousand rupees this month, which is less than Rs. 5,000 as compared to the previous month. Apart from this, the deduction of WagonR has been reduced to Rs. 10 thousand rupees, now it will be available at the base price of Rs. 4,14,058, while the Celerio can be bought for Rs 4,03,125.
Mahindra & Mahindra car discount after GST
Mahindra & Mahindra (M&M) has also reduced the price of small car segment by averaging 1.4%. On the other hand the company has reduced the price of LCV, HCV products by an average of 0.5%.
Utility vehicle, SUV prices have been cut by average 6.9 percent. The company has made a slight increase in the prices of hybrid cars. But there has been no change in the price of tractors.
Tata Motors car discount after GST
The country’s third-largest passenger car maker Tata Motors has reduced prices of its passenger vehicles (car and SUV) from Rs. 33,000 to Rs. 2.17 lakh. According to information provided the company has cut its cars and SUVs by up to 12%. The company has made this deduction after the implementation of GST.
Hyundai Motors India is giving discount of its vehicles by up to 5.9 percent under GST to customers.
Nissan Motor said it is reducing ex-showroom prices of products by an average of 3 percent to give benefits of GST to customers.
Skoda India Superb model range has seen the maximum change with a revision upto 7.4 percent resulting into a price benefit of up to Rs. 2.4 lakh. The benefit on the Octavia model range from 4.9 per cent to 7.4 percent, resulting in a maximum benefit upto Rs. 1.75 lakh.