Cars24 Introduces Exclusive Savings for Used Car Buyers Amid GST Reforms

CARS24, kicks off an exciting time to buy used cars in India, with our campaign ‘GST: Great Savings Time’, making it the perfect time to bring home your dream car without burning a hole in your pocket.

The Indian automobile sector just witnessed one of the most significant tax reforms in recent years. Under the new structure, effective from September 22, 2025, a simplified three-slab tax structure for vehicles will be implemented. This move is being celebrated as a major step toward making cars more affordable, streamlining compliance, and boosting industry growth.

While the government is all set to roll out revised GST tax rates starting 22nd September, CARS24 is shifting into high gear ahead of time; offering amazing deals and discounts on used cars, even though the revised GST rates don't technically apply to pre-owned vehicles.

A Quick Recap of the 2025 GST Overhaul

Earlier, vehicle taxation was complicated, with multiple GST slabs and additional compensation cess layered on top. Cars could be taxed anywhere between 28% and 50%, depending on their size, type, and engine capacity. That not only made compliance difficult but also inflated prices for end buyers.

The new structure simplifies everything. From September 22, 2025, all vehicles fall under just three slabs:

• 5% GST → For electric vehicles and certain essential categories (unchanged from before).
   
• 18% GST → For small and compact vehicles.
   
• 40% GST → For high-end cars, SUVs, and luxury models.
   

Another key decision was the withdrawal of the compensation cess. This means that even though luxury cars now fall into the higher 40% slab, many of them won’t actually get more expensive than before since the cess previously inflated their cost.

Honourable Finance Minister, Mrs. Nirmala Sitharaman noted that this reform will make cars more affordable across segments and reduce the working capital strain on dealers and manufacturers. And the industry seems to agree. In fact, auto stocks like Maruti, Mahindra, and Bajaj Auto saw immediate gains right after the announcement.

However, these benefits are only limited to buyers who seek a new set of wheels, fresh from the factory floor. But what about used car buyers? 

Why Doesn’t the GST Cut Benefit Used Car Buyers Directly?

It’s simple. The GST reforms target new vehicles, where tax rates apply to the entire price tag. In contrast, used cars have always been governed by a lighter, margin-based tax system. Since the government didn’t revise that scheme, there’s no new relief for you at the checkout.

That means:

• No fresh tax cuts when you buy a used car.
   
• No changes in how GST is applied to used cars.
   
• No direct price reduction as a result of the reform.
   

If you were expecting prices of pre-owned cars to drop overnight because of the new GST slabs, that’s unfortunately not how it works.

GST Might Not Apply to Used Cars, But the Savings Are Real!

The recent announcement about GST reforms has stirred quite a buzz. While these changes focus on new goods and services, used cars remain outside the updated tax structure. But instead of sitting idle, CARS24 has taken this opportunity to give customers what they really want, more value for their money. 

Under the ‘Great Savings Time’ campaign, you can expect huge savings of up to 20% or ₹80,000 on a wide range of used cars, but only for a limited time. We’ve introduced upfront discounts across many popular car models, and even on top brands like Maruti, Hyundai, Honda, and Tata. 

Discounted prices, along with CARS24’s quick and easy financing options, can mean you can drive home your dream car, taking affordability to new heights!
 

How CARS24 is Passing On the Real Benefits of GST: Even When the Rules Don’t

Yes, the GST reform doesn’t apply to used cars, but that hasn’t stopped CARS24 from turning this into a win for you.

Instead of waiting for policy changes or passing the buck, we’ve taken the initiative to mirror the spirit of the tax cut, making cars more affordable, ownership easier, and the entire experience more rewarding for everyday buyers.

Why Wait for Reforms, When the Rewards Are Already Here?

The government's reforms are important, but CARS24’s GST: Great Savings Time is already delivering what buyers really want: bigger savings, better cars, and a stress-free journey to ownership. 

• No more waiting for tax cuts to trickle down.
• No more hoping for price corrections that may never come.
• The benefits are already here. And they’re all yours.

Remember, it's a limited-time offer. So head over to Cars24 and get the best deal on your next used car.