Mercedes-Benz India has announced a significant price reduction across its entire range of cars and SUVs following the implementation of the new GST 2.0 framework by the Government of India.
The new tax structure, which comes into effect from September 22, 2025, rationalizes vehicle taxation by placing all passenger cars under a flat 40% GST slab, replacing the earlier system of 28% GST plus an additional cess of up to 22%. This effectively lowers the total tax incidence on premium and luxury cars from around 50% to 40%, making them more affordable.
Electric vehicles, however, remain the biggest beneficiaries of India’s progressive tax policy, continuing to attract a concessional GST rate. This move reinforces government efforts to encourage clean and sustainable mobility.
Mercedes-Benz has confirmed that it will pass on the full benefit of the tax cuts to customers, ensuring that buyers experience the direct impact of the reform. The announcement comes just ahead of the festive season—typically a high-demand period for luxury vehicles—making the timing especially favorable for buyers.
Updated Prices Across Mercedes-Benz Lineup
| Model | Old Price | New Price | Price Drop |
|---|---|---|---|
| GLA 220d 4MATIC AMG Line | Rs 56.50 lakh | Rs 52.70 lakh | Rs 3.8 lakh |
| GLC 300 4MATIC | Rs 79.25 lakh | Rs 73.95 lakh | Rs 5.3 lakh |
| GLE 450 4MATIC | Rs 1.15 crore | Rs 1.07 crore | Rs 8 lakh |
| GLS 450d AMG Line | Rs 1.44 crore | Rs 1.34 crore | Rs 10 lakh |
| A 200d (entry-level saloon) | Rs 48.55 lakh | Rs 45.95 lakh | Rs 2.6 lakh |
| C 300 AMG Line | Rs 68 lakh | Rs 64.30 lakh | Rs 3.7 lakh |
| E-Class LWB 450 4MATIC | Rs 97 lakh | Rs 91 lakh | Rs 6 lakh |
| S 450 4MATIC (Flagship Sedan) | Rs 1.99 crore | Rs 1.88 crore | Rs 11 lakh |
Skoda Festive Offers and GST Benefits
Skoda India is also offering attractive festive deals and GST-linked benefits across its lineup:
- Skoda Kodiaq: Enjoy GST benefits of up to Rs 3.3 lakh, plus festive discounts worth up to Rs 2.5 lakh, for total potential savings of Rs 5.8 lakh.
- Skoda Kushaq: Comes with GST savings of up to Rs 66,000 and additional festive offers of up to Rs 2.5 lakh, allowing buyers to save up to Rs 3.1 lakh.
- Skoda Slavia: Available with GST benefits of up to Rs 63,000 and festive discounts of up to Rs 1.2 lakh, making for total savings of Rs 1.8 lakh.
Here’s a clean and organized table based on the data you provided:
| Model | Savings |
|---|---|
| Bolero / Bolero Neo | Rs 1.27 lakh |
| XUV3XO Petrol | Rs 1.40 lakh |
| XUV3XO Diesel | Rs 1.56 lakh |
| Thar 2WD Diesel | Rs 1.35 lakh |
| Thar 4WD Diesel | Rs 1.01 lakh |
| Scorpio Classic | Rs 1.01 lakh |
| Scorpio N | Rs 1.45 lakh |
| Thar Roxx | Rs 1.33 lakh |
| XUV700 | Rs 1.43 lakh |
Saving on the purchase of Toyota models
| Model | Savings (Up to) |
|---|---|
| Glanza | Rs 85,300 |
| Urban Cruiser Taisor | Rs 1,11,100 |
| Rumion | Rs 48,700 |
| Urban Cruiser Hyryder | Rs 65,400 |
| Innova Crysta | Rs 1,80,600 |
| Innova Hycross | Rs 1,15,800 |
| Fortuner | Rs 3,49,000 |
| Legender | Rs 3,34,000 |
| Hilux | Rs 2,52,700 |
| Camry | Rs 1,01,800 |
| Vellfire | Rs 2,78,000 |
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