Published Dec 5, 2025 4 Min Read

Handy guide on Volkswagen car prices after GST rate revision

 
 

The Indian automobile market is abuzz with the government’s new GST revision, and car buyers are keen to know how it impacts their favourite brands. Among global names, Volkswagen has earned a reputation for delivering German engineering, safety, and timeless design. With tax rates changing, Volkswagen car prices after GST rate revision have become a hot topic for buyers planning their next purchase.


GST changes directly influence car affordability. Lower rates mean better value for buyers, and Volkswagen cars are set to benefit across segments. Whether it is the Virtus sedan, the Taigun SUV, or the premium Tiguan R Line, customers can now expect noticeable savings. But how much will you save, and what is the best way to plan your purchase? Read on to explore revised GST slabs, expected price drops, and why a new car loan from Bajaj Finance can make your Volkswagen purchase even simpler.


Want to skip the waiting time? Check your pre-approved new car loan offer and fast-track your Volkswagen purchase today.


What are the revised GST slabs for Volkswagen cars


Customers will now be offered savings of up to 13%, depending on the Volkswagen car that they pick. Here are the revised GST slabs that apply after the latest revision:

Type of vehicleOld GST slab (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 1,500 ccUp 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 change makes hatchbacks, sedans, and SUVs more accessible. Compact petrol cars enjoy the highest relative reduction, while larger SUVs also benefit with double-digit savings.


Expected cost of Volkswagen cars base model post tax cuts


The impact of the GST revision differs across Volkswagen models, depending on their body type and engine capacity. Below is an indicative look at how base models are expected to benefit from the new rates. These figures are for ex-showroom prices only. Final on-road costs will vary depending on RTO charges, insurance, and dealer handling.

CarOld GST slab (GST + cess)New GST rateExpected price drop (approx.)
Volkswagen Virtus28% + up to 17% (45%)40%Up to Rs. 66,900
Volkswagen Taigun28% + up to 17% (45%)40%Up to Rs. 68,400
Volkswagen Tiguan R Line28% + up to 22% (50%)40%Up to Rs. 3,26,900

The most premium Volkswagen offering in India, the Tiguan R Line, gets the maximum price cut in the German carmaker’s lineup at Rs. 3.27 lakh (approx.). Prices of the Volkswagen Virtus and Taigun, on the other hand, will see a reduction of over Rs. 66,900 and 68,400 respectively, making these models more attractive for sedan and SUV buyers alike.


Planning to buy your new Volkswagen? Check your loan amount eligibility today and see how much you can borrow.


Why choose Bajaj Mall for your car purchase


Buying your next Volkswagen is now even easier with Bajaj Mall. The platform gives you access to a wide variety of Volkswagen cars, from stylish sedans to powerful SUVs. The user-friendly filters make it simple to browse models, compare features, and check the latest offers.


Booking your car is smooth, thanks to financing solutions offered by Bajaj Finance. The Bajaj Finserv New Car Loan provides up to 100% financing of the on-road price, ensuring you do not need to compromise on your choice. With flexible EMI options, extended repayment tenures, and competitive car loan interest rates, the loan adapts to your financial comfort.


You can also use the car loan EMI calculator to plan better. It allows you to estimate your monthly instalments and pick a repayment plan that fits your budget. 


Want to skip the waiting time? Check your pre-approved new car loan offer and fast-track your Volkswagen purchase today.

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Frequently asked questions

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

With the GST revision, Volkswagen cars now come at more attractive prices. Depending on the model, the savings range between 5% and 13%. Compact cars in the sub-4 metre category, especially petrol and diesel variants, enjoy the largest reductions. For instance, a Volkswagen Taigun could see savings close to 10% of its ex-showroom price. 


Planning to buy your new Volkswagen? Check your new car loan eligibility and see how much you can borrow from Bajaj Finance. Pair these benefits with the Bajaj Finserv New Car Loan for a smooth buying experience.

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

The new reduced prices apply from 22 September 2025. Dealerships have updated ex-showroom prices accordingly, so customers booking now will pay the revised rates.

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

All Volkswagen models see some reduction, but the most notable gains are in popular models like the Virtus sedan and Taigun SUV. Both fall in categories that enjoy cuts of 5–11%. The premium Tiguan R Line, being an SUV with larger engine capacity, benefits from around 10% reduction. These changes improve accessibility across the brand’s lineup, making Volkswagen cars more value-driven than before.

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

The GST revision makes Volkswagen cars more affordable, opening the doors for more first-time buyers and families upgrading their vehicles. Lower ex-showroom prices also mean reduced loan amounts for buyers who choose financing. 

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