The Indian automobile industry is undergoing a major change with the rollout of GST 2.0, a reform that has brought down tax rates on passenger vehicles. This shift has made cars more affordable, with the impact most visible in MG car prices after GST rate revision. From the compact Astor to the premium Gloster, MG buyers can now look forward to noticeable savings that improve overall value. These tax cuts mean that owning a feature-rich MG car is no longer as heavy on the pocket as before.
However, affordability is not just about lower ex-showroom prices. Buyers must also plan for on-road costs that include insurance, RTO fees, and registration. Here, financing plays a vital role in simplifying ownership.
The Bajaj Finserv New Car Loan emerges as the most suitable option, offering up to 100% financing of the on-road price, competitive interest rates, extended repayment tenures, and flexible EMI options. With minimal paperwork and quick disbursals, it ensures a seamless purchase journey.
Want to fast-track your dream car purchase? Check your pre-approved new car loan offer today.
What are the revised GST slabs for MG cars
Customers will now be offered savings of up to 13% depending on the MG car they choose. Here are the revised GST slabs:
| Type of vehicle | Old GST slab (including cess) | New GST rates | Savings |
|---|---|---|---|
| Sub-4 metre (Petrol) | 29% (28% GST + 1% cess) | 18% | 11% |
| Sub-4 metre (Diesel) | 31% (28% GST + 3% cess) | 18% | 13% |
| Cars over 4 metres in length with engine capacity up to 1,500 cc | Up to 45% (28% GST + 17% cess) | 40% | 5% |
| SUVs (above 4 metres in length with engine capacity exceeding 1,500 cc) | Up to 50% (28% GST + 22% cess) | 40% | 10% |
This revision reduces the tax burden on compact cars and larger SUVs alike, making MG’s diverse lineup more attractive to buyers.
Expected cost of MG cars base model post tax cuts
The following table shows how MG cars are expected to benefit from GST rate cuts. These figures are indicative ex-showroom estimates. The final on-road price will vary depending on RTO, insurance, and location.
| Car | Old GST slab (GST + cess) | New GST rate | Expected price drop (approx.) |
|---|---|---|---|
| Astor | 29% (28% GST + 1% cess) | 18% | 11% |
| Hector Petrol | Up to 45% (28% GST + 17% cess) | 40% | 5% |
| Hector Diesel | Up to 45% (28% GST + 17% cess) | 40% | 5% |
| Gloster | Up to 50% (28% GST + 22% cess) | 40% | 10% |
Note: These are indicative ex-showroom savings. Final on-road prices may vary depending on insurance, RTO, and location.
With the GST 2.0 reform, MG customers can now enjoy significant benefits across the lineup. The MG Astor receives a reduction of up to Rs. 54,000, making it an even stronger contender in the compact SUV space. Both the Hector Petrol and Hector Diesel trims benefit equally, with savings of up to Rs. 1.49 lakh each, improving their appeal in the midsize SUV segment. At the top end, the MG Gloster offers the maximum relief, with a price cut of up to Rs. 3.04 lakh, making the premium SUV more accessible to families seeking luxury and space.
Planning to buy your new MG soon? Check your loan amount eligibility today and see how much you can borrow from Bajaj Finance.
Why choose Bajaj Mall for your car purchase
Buying your new MG becomes easier with Bajaj Mall. The platform features a wide range of MG models, including compact SUVs and premium full-sized offerings. Its user-friendly filters make it simple to compare models, check features, and decide quickly.
The booking process is simple when paired with a new car loan from Bajaj Finance. With up to 100% financing of the on-road price, you can avoid the burden of a large down payment. Flexible EMI options and extended repayment tenures allow you to structure payments according to your budget. Competitive car loan interest rates further enhance affordability.
For better planning, use the car loan EMI calculator. This tool lets you estimate monthly instalments in advance and choose the repayment plan that suits your lifestyle.
The MG car prices after GST rate revision underline the benefits of the reform for Indian customers. With savings ranging from 5% to 13%, MG cars such as the Astor, Hector, and Gloster are now more accessible.
Want to speed up the process? Check your pre-approved new car loan offer and confirm your MG purchase without delays.
