For those unfamiliar with Spinny, it’s a platform where used cars are bought and sold. Notably, the GST (18%) rate on used cars has not changed. However, let’s understand how Spinny is offering you benefits. Spinny has announced price cuts on cars, offering buyers discounts of up to ₹2 lakh and sellers a benefit of up to ₹20,000 per car.

The tax rate for large SUVs has been reduced from 48% to 40%, resulting in savings ranging from Rs 88,900 to Rs 1.43 lakh, depending on the chosen variant. The XUV700 is classified as an SUV, and the new GST rates apply to vehicles exceeding 4 meters in length and with an engine capacity greater than 1,500 cc. Previously, these vehicles were subject to a 28% GST plus a 20% cess, totaling 48%. The updated regulations simplify the tax structure to a flat 40%.

Maruti Arena has taken the initiative by incorporating special offers alongside the GST cuts, enhancing the appeal of deals for potential buyers. Let’s examine the estimated new prices of popular Maruti Arena cars.

Tata Motors has declared that it will pass on the full benefit of the GST rate reduction to its customers. The company has reduced prices by up to ₹1.55 lakh on its different models. These new prices will be effective from September 22, 2025.

Hundai has announced price reductions for all its passenger vehicles, effective from September 22nd. The lowest cut is on the Creta N Line. The Grand i10 Nios will be cheaper by ₹73,808, while the Aura will be ₹78,465, i20 ₹98,053 and Exter ₹89,209 cheaper.

Mahindra stated that its SUV lineup will see significant cuts under the new GST rules. The XUV3XO diesel will provide the maximum benefit, with a reduction of ₹1.56 lakh.

Toyota, which sells cars like Innova and Fortuner, has also announced price reductions. The reduced prices from Toyota will be effective from September 22, 2025. Under the new GST rules, there is a maximum reduction of ₹85,300 on the Toyota Glanza, ₹1.11 lakh on the Taisar, and up to ₹48,700 on the Rumion.

Under the new GST framework, the starting price of the Renault Kwid is now ₹4.30 lakh and goes up to ₹5.90 lakh. It has seen a reduction of ₹40,095 to ₹54,995. The Renault Kiger now starts at ₹5.76 lakh for the base variant, with a reduction of ₹53,695.

MG Motor India states that it has passed on the full benefit of the reduced GST to its customers. This benefit will be applicable to all bookings made until September 7, 2025, across the country. The British brand MG currently sells three SUVs in the Indian market: Astor, Hector, and Gloster.

Volkswagen India has announced that it will pass on the full benefit of the new Goods and Services Tax (GST 2.0) to its customers. The new prices will be effective from September 22, 2025. There will be significant price cuts in Volkswagen cars. These cuts will vary depending on the different variants.

Skoda India has stated that it will pass on the GST benefit to customers, resulting in a reduction of up to ₹3.3 lakh in car prices. In addition, the company has announced special festive offers, under which an additional discount of up to ₹2.5 lakh will be available if bookings are made before September 21.

Kia has confirmed that it will pass on the full benefit of the GST rate cuts to its customers. This benefit will be available on all Kia petrol and diesel cars.

Honda Cars India Limited (HCIL) has announced that it will pass on the full benefit of the new GST rates to its customers. The new prices will be effective from September 22, 2025. This step has been taken just before the festive season, allowing buyers to benefit from both the GST-related price cuts and the ongoing festive offers.

After the new GST slab, Mercedes-Benz cars are now more affordable than before. The company has reduced prices by up to ₹11 lakh across its model range.

Audi has reduced the starting price of its Q3 SUV from ₹46.14 lakh to ₹43.07 lakh. The Audi A4 now starts at ₹46.2 lakh, which was ₹48.89 lakh earlier. The Audi Q7 now starts at ₹86.14 lakh, which was ₹92.29 lakh earlier. The reduced prices will be effective from September 22.

BMW sells 16 petrol-diesel cars in India, but it has only confirmed the GST benefit on 6 models so far. It remains to be seen whether the other BMW cars like the 7 Series, X3, M4, Z4, etc., will also get the benefit of the GST cut, and if so, how much.

The Japanese company stated that prices of all its vehicles will be reduced following the new GST rates. The new prices will be effective from September 22, 2025, coinciding with the implementation of the new GST rates. The company has urged customers to confirm their bookings before the festive season to ensure timely delivery. Toyota India’s Vice President, Varinder Wadhwa, expressed gratitude to the Indian government for this historic reform, noting that it not only makes vehicles more affordable for customers but also strengthens confidence within the entire auto sector. The company anticipates that this move will boost demand, especially before the upcoming festive season.

| Model | Price Reduction |
| :——- | :————–: |
| Glanza | 85,300 |
| Taisor | 1,11,100 |
| Rumion | 48,700 |
| Hyryder | 65,400 |
| Crysta | 1,80,600 |
| Hycross | 1,15,800 |
| Fortuner | 3,49,000 |
| Legender | 3,34,000 |
| Hilux | 2,52,700 |
| Camry | 1,01,800 |
| Vellfire | 2,78,000 |

Price Cuts on Toyota Cars

Under this new announcement, the prices of several Toyota cars have been reduced. The Fortuner has seen the most significant benefit, with a price reduction of up to Rs 3.49 lakh. Following this, the premium variant Legender sees a reduction of up to Rs 3.34 lakh. The new prices for the Fortuner now start from Rs 36.05 lakh ex-showroom, while the Legender’s prices start from Rs 44.51 lakh ex-showroom.

New GST Impact on Taxes

The new GST has led to price reductions across almost all car segments. Small cars will now attract an 18% GST, down from the previous 28%. Prices will become cheaper by 5% to 13%. Larger cars will now be taxed at 40%. Previously, a higher tax was levied, combining 28% GST and cess. The overall tax burden has been reduced by 3% to 10%. Luxury brands such as Mercedes-Benz, Audi, BMW, and Jaguar Land Rover previously faced a 50% tax. Now, they will be subject to a flat 40% tax, leading to significant price reductions.

The government’s decision aims to make it easier for millions of families and small businesses to purchase vehicles, as they depend on reliable and affordable transportation. Rakesh Sharma, Executive Director of Bajaj Auto Limited, stated that the government’s decision to reduce GST on two-wheelers and three-wheelers is a bold move that will boost demand and strengthen the industry. Prices of their vehicles will become even more affordable as the festive season begins.

The government has taken this step to make it easier for millions of families and small businesses, who rely on reliable and affordable transportation, to purchase vehicles. Rakesh Sharma, Executive Director of Bajaj Auto Limited, stated that the government’s decision to reduce GST on two-wheelers and three-wheelers is a bold move. This is expected to boost demand and strengthen the industry. Prices of their vehicles will further decrease with the start of the festive season.

Toyota Kirloskar Motor announced on Saturday that it is reducing the prices of its vehicles by up to ₹3.49 lakhs to pass on the benefits of the GST rate cuts to its customers. The revised prices will be effective from September 22, 2025. A transparent and consumer-centric company, Toyota is pleased to pass these benefits to customers.

Firstly, let’s talk about tires – now, GST relief has been given on new rubber pneumatic tires (excluding bicycle, rickshaw, and aircraft tires). The GST rates have been reduced from 28 percent to 18 percent. This clearly means that the maintenance cost of these vehicles will now be somewhat lower. Also, GST on transportation motor vehicles carrying goods has been reduced to 18 percent. Vehicles like buses, trucks, and ambulances have also been given tax relief.

Road tractors used to pull semi-trailers and with an engine capacity of more than 1800cc will also have to pay less tax. Now, 18 percent tax will be levied on them. This change will directly provide relief to the logistics and transportation sector, which may also reduce the cost of transporting goods.

If we look at the needs of the family, now vehicles with small engines will be cheaper. For example, cars running on petrol, CNG, and LPG, with an engine capacity of up to 1200cc and a length of up to 4 meters. Not only this, diesel cars up to 1500cc, which are also less than 4 meters in length, have also come under the lower GST slab. This means the burden of buying a car in the hatchback and compact segment will be lighter. A tax of 18 percent will now be levied on cars of both these categories instead of 28 percent.

Another relief for the middle class is that three-wheeler vehicles and motorcycles (with an engine capacity of up to 350cc, such as scooters and mopeds) are also going to be cheaper. This news will directly please families in small towns and cities, where people depend on two-wheelers and three-wheelers for daily commuting.

Moreover, ambulances, which come from the factory with all the necessary medical fittings, have also had their taxes reduced. This will affect the health sector, and it is expected that patients will get cheaper ambulance services. Also, hybrid vehicles (petrol-diesel + electric motor) have also come under the relief category. This means that in the future, the prices of environmentally friendly vehicles can be a little more affordable. Tax on both types of compact hybrid cars will be 18 percent.