Malkit
How did we prepare this list?
GST Reform is due on Diwali, however, reports suggest that Luxury and sin products are likely to face a steeper levy of around 40%. As per New India Express, Luxury cars and sports utility vehicles are expected to fall under the higher 40% bracket.
More clarity on GST rates on cars
Currently, large cars (above 4 meters in length and 1200cc in engine size) are taxed (including cess) in the range of 43-50%. So, it expected cars under this category will fall in 40% category
Honda City (1.5L petrol/diesel)
Honda City (1.5L petrol/diesel) falls under greater than 4 meter category. Currently, its on-road price is aronud Rs 15.25 lakh to Rs 18.24 lakh.
Volkswagen Virtus (1.0L/1.5L TSI)
The German car Volkswagen Virtus' on road price starts at over Rs 13 lakh and goes upto Rs 22 lakh depending upto the variant.
BMW Cars
BMW cars like 3 Series and 5 Series comes under the luxury section and if reports are true then, it will be slapped with 40% GST.
Mercedes
Mercedes cars like Benz C Class, E Class, etc are often seen on Indian roads. However, they are also at risk on price increase due to GST reforms.
SUVs
SUVs like Creta, Harrier, etc also comes under similar 'greater than 4 meter category', hence, new GST taxes can also imposed on them.
Disclaimer
True Scoop advises you await till final announcement of new GST Rates by Diwali 2025.