Big GST Cut: Mahindra, Tata, and Renault Slash Car Prices — Check New Rates and Discounts,GST Council’s latest decision reduces taxes on cars and bikes, prompting Mahindra, Tata Motors, and Renault to slash prices. Discounts go up to ₹1.56 lakh on SUVs like XUV Taxi and Nexon. Check the full new price list and savings here.
The 56th GST Council meeting has brought huge relief for car buyers in India. Taxes on several passenger vehicles and two-wheelers have been slashed, leading to major price cuts by Mahindra, Tata Motors, and Renault India.
Small cars will now attract 18% GST instead of 28%, while big cars and SUVs will have a uniform 40% GST with no extra cess. Electric vehicles remain at 5% GST.
This move is expected to boost demand in the festive season as manufacturers have already rolled out new, reduced prices.
Mahindra Price Cuts (Effective 6 September 2025)
| Model | Old GST Rate | New GST Rate | Approx. Benefit |
|---|---|---|---|
| Bolero & Neo | 31% | 18% | ₹1,27,000 |
| XUV 3XO Diesel | 31% | 18% | ₹1,56,000 |
| Scorpio Classic | 48% | 40% | ₹1,000 |
| Scorpio N | 48% | 40% | ₹1,45,000 |
| Thar 2WD Diesel | 31% | 18% | ₹1,35,000 |
| Thar Rox 4WD | 48% | 40% | ₹1,00,000 |
| XUV 700 | 48% | 40% | ₹1,43,000 |
Tata Motors Price Cuts (Effective 22 September 2025)
| Model | Price Reduction |
|---|---|
| Tiago | ₹75,000 |
| Tigor | ₹80,000 |
| Altroz | ₹1,10,000 |
| Punch | ₹85,000 |
| Nexon | ₹1,55,000 |
| Curvv | ₹65,000 |
| Harrier | ₹1,40,000 |
| Safari | ₹1,45,000 |
Renault India Price Cuts (Effective 22 September 2025)
| Model & Variant | Old Price | New Price | Savings |
|---|---|---|---|
| Kwid Climber AMT DT | ₹6,44,995 | ₹5,90,000 | ₹54,995 |
| Kwid Climber DT | ₹5,99,995 | ₹5,48,000 | ₹51,995 |
| Kwid Climber | ₹5,87,995 | ₹5,37,900 | ₹50,095 |
| Kwid RXT MT | ₹5,99,995 | ₹5,48,000 | ₹51,995 |
| Triber Emotion AMT DT | ₹9,39,995 | ₹8,59,800 | ₹80,195 |
| Triber Emotion AMT | ₹9,16,995 | ₹8,38,000 | ₹78,995 |
| Triber Emotion MT DT | ₹8,87,995 | ₹8,13,000 | ₹74,995 |
| Triber Emotion | ₹8,64,995 | ₹7,91,200 | ₹73,795 |
Biggest Discounts
- Tata Nexon: up to ₹1.55 lakh
- Mahindra XUV 3XO Diesel: up to ₹1.56 lakh
- Tata Safari: up to ₹1.45 lakh
- Renault Kwid (entry-level): ₹49,000 – ₹57,000 savings depending on variant
Key Takeaway
This GST cut is one of the most significant auto sector reforms in years. With SUVs, hatchbacks, and even motorcycles becoming cheaper, buyers are expected to rush to showrooms this festive season.
Mahindra’s new prices are live from 6 September 2025, while Tata Motors and Renault’s new prices will take effect from 22 September 2025.
If you were planning to buy a new car, this could be the best time to save lakhs.
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