GST Cess: Tata Hikes Price Of Hexa And Safari Storme

It was on September 9, 2017, that the GST council revisited the cess structure adopted for large cars, SUVs and mid-sized sedans. The council then increased the cess from 15 per cent as part of the original GST rates (43 per cent tax - 28 per cent GST + 15 per cent cess) to 20 per cent cess for luxury cars and 22 per cent cess for SUV and this meant that a whole bunch of cars would be affected. Car makers have already started revising the prices of their cars and Tata Motors too is one among them.

Tata has had to increase the price of the Hexa and the Safari Storme because of the revision in cess and now the Hexa’s price has gone up by almost Rs. 96,000. Tata Motors had slashed prices across its variant in July this year when GST came into force. Prices went down between Rs. 3300 – Rs. 217,000 depending on the model and variant across its portfolio which was a reduction of nearly 12 per cent. But the increase in cess does hurt the prices, however, compared to the pre-GST era, the current prices are still lower.

The price of the Safari Storme too has gone up by almost Rs. 86,000 depending on the variant you buy which is why you see the Safari’s pricing cross the Rs. 15 lakh mark yet again. The prices of the Nano, Tiago, Tigor, Zest and Bolt remain unaffected. It’s likely that the Nexon will also not be affected by the additional cess and which is why we expect Tata Motors to price it extremely competitively.

Tata Hexa Post Cess Prices:

Tata Safari Storme Post Cess Prices: