For small cars like the Maruti Swift, GST is cut to 18% (from ~30%), making on-road prices 5–8% cheaper.
Mid-size sedans now fall under a flat 40% GST (down from ~45%), cutting prices by 3–4% and narrowing the gap with entry-level SUVs.
SUVs like the Hyundai Creta now attract 40% GST instead of 50%, cutting prices by over ₹1 lakh on average.
Luxury cars now face a flat 40% GST, replacing the old 28% + 20–22% cess, leading to mostly neutral prices with slight drops or hikes depending on the model.
This festive season, dealerships are set to pass on GST 2.0 benefits with real price drops—biggest gains for budget buyers, better value for sedan/SUV upgraders, and stable prices for luxury car buyers.