Tata Motors has announced that it will pass on the full benefit of the recent GST reduction on its cars and SUVs to customers, effective 22nd September 2025. This move came after the GST (Goods and Services Tax) council’s decision to revise tax rates for cars with engines of up to 1200cc (petrol) and 1500cc (diesel), as well as bikes with engines under 350cc.
With this revision, these vehicles now come under the 18% slab, down from the earlier 28% slab, which has been abolished. Larger SUVs, four-wheelers and bikes with engines above 350cc will now be taxed at 40% under the luxury goods category, reduced from the previous 50% bracket. As a result, all vehicles will receive significant price cuts, which is likely to boost cars sales during the upcoming festive season.
Tata SUVs/Cars Price Cut After GST Revision
Model | Price Cut |
Tiago | Up to Rs 75,000 |
Tigor | Up to Rs 80,000 |
Altroz | Up to Rs 1,10,000 |
Punch | Up to Rs 85,000 |
Nexon | Up to Rs 1,55,000 |
Curvv | Up to Rs 65,000 |
Harrier | Up to Rs 1,40,000 |
Safari | Up to Rs 1,45,000 |
Tata Motors said that it “encourage customers to book their preferred vehicle early for delivery during the festive period.” After the full GST tax benefit, the entry-level Tata Tiago hatchback and Tigor compact sedan have become cheaper by up to Rs 75,000 and up to Rs 80,000, respectively. The Altroz premium hatchback gets affordable by up to Rs 1.10 lakh, while the top-selling Punch and Nexon subcompact SUVs are now cheaper by Rs 85,000 and Rs 1.55 lakh, respectively.
In the premium segment, the Tata Curvv has received a price cut of up to Rs 65,000. The Tata Harrier and Safari are now more affordable by up to Rs 1.40 lakh and Rs 1.45 lakh, respectively. Buyers can check the exact revised prices of their select variants at authorized Tata Motors dealerships.