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Caronphone
Small Cars to Get Cheaper as GST Cut to 18% from Sept 22, 2025 – Festive-Season Could Benefit
From September 22, 2025, the GST cut on small cars from 28% to 18% will officially kick in — just in time for the festive season. This small car GST 18% slab means a direct car price reduction in late September 2025 for some of India’s most-loved hatchbacks and compact SUVs, especially cars under 1200cc and sub-4 meter cars that consistently dominate the urban market.
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Caronphone
GST 2.0 Raised to 40% on Large Cars, SUVs & Premium Vehicles – Small Cars GST Cut, Luxury Cars 40% Hike
If you’ve been looking to get your hands on a luxury sedan or full‑size SUV, here’s a twist you must know. GST on SUVs in India 2025 and other large passenger vehicles has been set at a flat 40%. The GST Council says this move, effective September 22, 2025, is part of a broader vehicle taxation policy India 2025 overhaul. It’s aimed at simplifying slabs while keeping high‑end consumption in the top bracket.