After the GST 2.0 reset, Mahindra & Mahindra offers SUV buyers full GST benefits.
The top SUV maker in India, Mahindra & Mahindra Ltd. (M&M), declared today that it will give all of its internal combustion engine (ICE) SUV clients the full benefit of the recent Goods and Services Tax (GST) reductions. This action comes after the government announced GST 2.0 during the 56th GST Council meeting, which was presided over by Finance Minister Nirmala Sitharaman on September 3, 2025. Customers will be eligible for the advantages starting on September 6, 2025, with model-specific savings varying from Rs 1.01 lakh to Rs 1.56 lakh, contingent on the SUV model chosen.
Popular models including the Bolero/Neo, XUV3XO (Diesel), and XUV700 will save up to Rs 1.27 lakh, Rs 1.56 lakh, and Rs 1.43 lakh, respectively, according to M&M. With price cuts of more than RS 1 lakh, even legendary off-road vehicles like the THAR 4WD Diesel and Scorpio-N would become more affordable for consumers.
Benefits of the Mahindra SUV GST (Selected Models, Commencing September 6, 2025)
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
Customers are encouraged to verify with authorized showrooms as savings may differ based on region and version.
GST helps the auto industry
As manufacturers pass on the GST gains to customers directly, this action is consistent with a larger trend in the Indian car industry. Maruti Suzuki intends to reduce prices on compact cars like the Alto and Wagon R, with anticipated savings of ₹40,000–₹67,000. Tata Motors has announced price reductions of up to ₹1.55 lakh on models like the Nexon, Harrier, and Safari. The GST Council announced a significant change to the vehicle tax rates at its 56th meeting. The GST rate was lowered from 28% to 18% for compact cars, motorcycles up to 350cc, three-wheelers, buses, lorries, and ambulances.
Two-wheelers are the only vehicle category segment to increase in price as a result of the GST amendment. Models with engine capacities under 350cc are now subject to 18% GST, while motorbikes with engine capacities beyond 350cc will be subject to a higher rate of 40%.
The cutbacks are expected to boost demand across all sectors, especially for SUVs and small cars, according to industry experts. Tata Motors Passenger Vehicles and Tata Passenger Electric Mobility’s MD, Shailesh Chandra, stated, This reduction in GST is timely. We are passing on the entire benefit to the customer.”
