Tata Motors announces up to Rs 2 lakh GST cut + discounts; check new prices for Nexon, Punch, Tiago, Altroz, Harrier, and more

 

# Tata Motors Announces Up to Rs 2 Lakh GST Cut + Discounts: Check New Prices for Nexon, Punch, Tiago, Altroz, Harrier, and More

**By Grok, xAI | September 23, 2025**

In a festive boon for car buyers, Tata Motors has rolled out massive price reductions across its popular lineup, passing on the full benefits of the recent GST rate revision effective September 22, 2025. Under the "Festival of GST – Greatest Savings from Tata Motors" campaign, the company is slashing ex-showroom prices by up to Rs 1.55 lakh on select models, layered with additional festive discounts that push total savings to Rs 2 lakh. This move aligns with the government's simplified GST slabs—18% for small cars and 40% for luxury vehicles—aimed at boosting personal mobility amid festive demand. With deliveries expected to surge, Tata urges early bookings at authorized dealerships, where final on-road prices can be confirmed.

The reductions primarily target internal combustion engine (ICE) models, while electric variants like Nexon EV and Tiago EV remain unaffected. Shailesh Chandra, Managing Director of Tata Motors Passenger Vehicles, hailed the policy as "progressive and timely," noting it will make vehicles more accessible for millions. Here's a breakdown of the new starting prices and maximum benefits for the highlighted models—savings vary by variant, so check with your dealer for specifics.

## Model-Wise Price Cuts and New Starting Prices

| Model       | Old Starting Price (Ex-Showroom) | New Starting Price (Ex-Showroom) | GST Cut (Max) | Additional Festive Benefits (Max) | Total Savings (Max) |

|-------------|----------------------------------|----------------------------------|---------------|-----------------------------------|---------------------|

| **Tiago**  | Rs 5.65 lakh                    | Rs 4.90 lakh                    | Rs 75,000    | Rs 45,000                        | Rs 1.20 lakh |

| **Punch**  | Rs 6.13 lakh                    | Rs 5.05 lakh                    | Rs 1.08 lakh | Up to Rs 40,000                  | Rs 1.48 lakh |

| **Altroz** | Rs 7.41 lakh                    | Rs 6.30 lakh                    | Rs 1.11 lakh | Rs 65,000                        | Rs 1.76 lakh |

| **Nexon**  | Rs 8.00 lakh                    | Rs 7.31 lakh                    | Rs 1.55 lakh | Rs 45,000                        | Rs 2.00 lakh |

| **Harrier**| Rs 15.00 lakh                   | Rs 13.99 lakh                   | Rs 1.39 lakh | Up to Rs 55,000                  | Rs 1.94 lakh |

*Note: Prices are approximate ex-showroom (Delhi) and based on base variants. Diesel and higher trims see the maximum GST cuts, especially sub-4m models now at 18% GST. Total benefits include exchange offers and corporate discounts where applicable. Offers valid until September 30, 2025.*

## Key Highlights: Who's Winning Big?

- **Nexon Leads the Pack**: As Tata's best-selling sub-compact SUV, the Nexon scores the highest total savings of Rs 2 lakh on top diesel-automatic variants like Fearless Plus. This makes the starting petrol manual even more competitive against rivals like Hyundai Venue and Kia Sonet.

  

- **Punch and Altroz for Urban Buyers**: The micro-SUV Punch drops to under Rs 5.10 lakh with benefits up to Rs 1.48 lakh, ideal for first-time buyers. The premium hatch Altroz, now starting at Rs 6.30 lakh, gains an edge in the segment with up to 9.9% reductions on diesel trims.

- **Tiago: Entry-Level Steal**: At a new low of Rs 4.90 lakh, the Tiago hatchback offers up to Rs 1.20 lakh off, blending affordability with 5-star safety—perfect for budget-conscious families.

- **Harrier's Premium Appeal**: The mid-size SUV sees up to Rs 1.94 lakh in total perks, bringing the base Pure variant to Rs 13.99 lakh. This positions it strongly against MG Hector and Jeep Compass, especially with its 5-star Global NCAP rating.

For the Safari (not in the query but related), expect similar joys: starting at Rs 14.66 lakh with up to Rs 1.98 lakh savings. The Curvv coupe-SUV joins the fray at Rs 9.65 lakh, with up to Rs 1.07 lakh off.

## Why Now? Festive Timing and Broader Impact

This announcement couldn't be timelier, coinciding with Navratri and Diwali preparations. The GST overhaul—shifting small cars to 18% from higher effective rates—reduces the tax burden by 8-10% on qualifying models (sub-4m length, engines under 1200cc petrol/1500cc diesel). Larger SUVs like Harrier benefit from recalibrated 40% slabs, yielding absolute cuts of Rs 1.4 lakh despite the rate.

Tata's strategy not only clears inventory but also counters rivals like Maruti Suzuki (Ertiga leading August sales) and Hyundai. With the rupee's recent slide adding import cost pressures, domestic price relief like this could sustain momentum—Nexon already outsold Brezza last month.

## Tips for Buyers: Lock in the Deal

- **Book Early**: High demand means limited stock—visit a Tata showroom or use the official app for virtual bookings.

- **Variant Check**: Base models see bigger percentage drops; opt for diesel for max GST perks.

- **On-Road Math**: Factor in insurance, RTO, and exchange bonuses for true savings.

- **EV Exclusion**: If green mobility calls, no cuts here—but festive EV incentives may apply separately.

Tata Motors' bold pass-through sets a benchmark for the industry, potentially sparking a price war that benefits consumers. Ready to upgrade? Head to your nearest dealer before September 30.

*Disclaimer: Prices are indicative and subject to change. Verify with authorized dealers for exact quotes and offers.*