Tata Motors cars, SUVs to get up to ₹1.55 lakh cheaper after GST 2.0 bonanza; here's the new price chart

In a first major announcement by an auto company post mega GST overhaul, India's one of the biggest carmakers, Tata Motors , has said the prices of its cars and SUVs will potentially reduce by up to ₹1.55 lakh after the government's GST 2.0 reforms. The company has said it will pass on the full benefit of the recent GST cuts on its cars and SUVs to customers, effective September 22, 2025, the date the revised GST rates come into effect.

Shailesh Chandra, Managing Director, Tata Motors Passenger Vehicles Ltd. & Tata Passenger Electric Mobility Ltd., said, “The reduction in GST on passenger vehicles, effective 22nd September 2025, is a progressive and timely decision that will make personal mobility more accessible for millions across India."

Chandra says, in line with Prime Minister Narendra Modi's vision, Finance Minister Nirmala Sitharaman's intent and the company's customer-first philosophy, Tata Motors will honour the reform by passing on the entire benefit of the reduction in GST to its customers.

The announcement is set to make Tata's popular range of cars and SUVs more accessible across segments. The company's statement suggests up to ₹75,000 cut in the prices of Tata Tiago; ₹80,000 on Tata Tigor; ₹1,10,000 on Tata Altroz, up to ₹85,000 on Tata Punch; ₹1.55 lakh on Tata Nexon; ₹65,000 on Tata Curvv, ₹1.40 lakh on Tata Harrier; and ₹1.45 lakh on Tata Safari.

The company has said customers should confirm the exact price of their preferred car/SUV variant from an authorised Tata Motors showroom.

Notably, other mass carmakers like Maruti Suzuki are yet to announce their potential reduction in prices, though company Chairman R.C. Bhargava has said the automotive industry would be a direct beneficiary of GST 2.0 regime. "The 10% lower tax will stimulate a flagging market, and many more people will be able to buy safer and more comfortable means of mobility," he said.

The GST 2.0 reforms announced by the government enables a shift from a 4-slab GST regime to a more streamlined 2-slab structure: 5% for essential goods and services, and 18% for standard items, but there are certain sin goods and luxury items that will bear a new 40% rate.

The GST Council’s decision to slash the tax rate on small cars from 28-31% to 18% and on large cars from 43-50% to a flat rate of 40% will benefit first-time buyers and middle-income families, according to the industry body SIAM (Society of Indian Automobile Manufacturers).