Published Sep 18, 2025 4 Min Read

Handy guide on Tata car prices after GST rate revision

 
 

The GST revision has reshaped India’s automobile market by making cars more affordable across segments. Among the biggest beneficiaries are Tata Motors’ vehicles, which already enjoy popularity for their robust build quality and safety. With the new tax slabs, Tata car prices after GST rate revision have dropped significantly, giving buyers across hatchbacks, sedans, and SUVs a chance to save more on their purchases.


The new GST rates reduce taxes on compact petrol and diesel cars to 18%, while larger SUVs and MPVs are taxed at 40%, down from as high as 50%. This means that depending on the model, Tata buyers can now save anywhere between Rs. 65,000 and Rs. 1.55 lakh. Such a move not only makes cars more accessible but also encourages families to consider higher trims within the same budget.


Pairing these price cuts with a financing solution makes ownership even simpler. The Bajaj Finserv New Car Loan provides up to 100% financing on the on-road price of Tata cars. It comes with flexible EMI options, extended repayment tenures, and competitive interest rates. With minimal paperwork and quick disbursals, it is the most convenient way to book your new Tata today. 


Want to skip the waiting line? Check your pre-approved new car loan offer and plan your purchase smartly.


What are the revised GST slabs for Tata cars?


Here is a look at the updated GST structure under the new revision:

Type of vehicleOld GST rates (including cess)New GST ratesSavings
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 1,500ccUp to 45% (28% GST + 17% cess)40%5%
SUVs (above 4 metres in length with engine capacity exceeding 1,500cc)Up to 50% (28% GST + 22% cess)40%10%
Electric vehicles (all categories)5%5%No change

Expected cost of Tata cars base model post tax cuts

CarOld GST slab (GST + cess)New GST rateExpected price drop (approx.)
Tata Tiago29%18%11%
Tata Tigor29%18%11%
Tata Altroz29%18%11%
Tata Punch29%18%11%
Tata Nexon31%18%13%
Tata Curvv45%40%5%
Tata Harrier50%40%10%
Tata Safari50%40%10%

These drops are indicative ex-showroom savings as per GST 2.0. Final on-road prices may vary with insurance, RTO, and local levies.


Price changes across models: The Tata Nexon, India’s top-selling SUV, now comes with savings of up to Rs. 1.55 lakh. The Harrier and Safari, both flagship SUVs, have also seen price reductions of up to Rs. 1.4 lakh and Rs. 1.45 lakh, respectively. Smaller cars like the Tiago and Punch are now cheaper by up to Rs. 85,000, making them even more attractive for first-time buyers.


Planning to buy your new Tata soon? Check your loan amount eligibility today and know how much you can borrow from Bajaj Finance.


Why choose Bajaj Mall for your car purchase


Bajaj Mall simplifies the process of buying a Tata car by offering a wide range of models in one place. Its easy-to-use platform comes with filters that allow you to compare cars based on price, features, and specifications. Whether you are looking at a compact Tiago or a premium Safari, the browsing experience is seamless.


The advantage of pairing your purchase with a car loan from Bajaj Finance is that it covers up to 100% of the on-road price, removing financial stress. You also get flexible EMI plans, extended repayment tenures, and competitive car loan interest rates. This ensures affordability, even for premium trims.


Additionally, you can calculate your monthly outflow using the car loan EMI calculator, giving you complete clarity before making the purchase. 


The Tata car prices after GST rate revision demonstrate how tax rate cuts can make car ownership more attractive. Buyers now enjoy savings of up to Rs. 1.55 lakh on SUVs like the Nexon, while premium options like the Safari and Harrier also see significant reductions. For hatchback buyers, models like the Tiago and Altroz bring strong value at a lower entry cost.


Why wait? Check your pre-approved new car loan offer today and make your Tata purchase smoother than ever.

Your new car loan requirement

Frequently asked questions

How much have Tata car prices been cut post-GST revision?

Tata car prices have been reduced by 5% to 13% depending on the segment. For example, sub-4 metre cars like the Tiago, Altroz, and Punch benefit from an 11% tax cut, saving buyers up to Rs. 1.1 lakh. The Nexon diesel, a popular SUV, enjoys the maximum reduction of 13%, leading to savings of up to Rs. 1.55 lakh. Larger SUVs such as the Harrier and Safari benefit from a 10% cut, offering savings of up to Rs. 1.45 lakh.

Planning to buy your new Tata? Check your new car loan eligibility today and discover your borrowing options. Combine GST benefits with Bajaj Finserv New Car Loan for an easier buying experience.

From when will the new reduced prices of Tata cars apply?

The new GST rates under GST 2.0 came into effect on September 22, 2025. All ex-showroom Tata car prices from this date reflect the updated tax structure.

Which Tata models benefit the most from the GST rate cut?

The Tata Nexon benefits the most with a 13% reduction, translating into savings of up to Rs. 1.55 lakh. The Harrier and Safari, both large SUVs, are also notable beneficiaries with savings exceeding Rs. 1.4 lakh each. Meanwhile, hatchbacks like the Altroz and Tiago continue to deliver great value with reductions between Rs. 75,000 and Rs. 1.1 lakh. This makes Tata cars across segments more appealing to buyers.

How will Tata’s price cut impact car buyers in India?

The GST cuts have made Tata cars more affordable for families and first-time buyers alike. Lower ex-showroom prices allow customers to consider higher trims or premium models without exceeding their budgets. 

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