The Maruti Suzuki Swift has long been one of the most popular hatchbacks in India, winning hearts with its sporty design, fun-to-drive character, and proven reliability. Over the years, it has become a household name, appealing to young buyers, families, and enthusiasts alike. Offering a strong mix of performance, features, and affordability, the Swift remains a popular name in the compact hatchback segment.Now, the Swift has become even more attractive to prospective buyers, thanks to the government’s recent revision of the Goods and Services Tax (GST) on small cars. From September 22, 2025, the GST applicable to compact cars has been reduced from 28% plus cess to a flat 18% with no cess. This major policy change has directly reduced ex-showroom prices across all Swift variants, making one of India’s favourite hatchbacks even more accessible.In this article, we break down the old vs new prices of the Maruti Suzuki Swift, look at variant-wise changes, and explain the impact of the GST cut on buyers.

The Tata Tiago has been a consistent performer in Tata Motors’ lineup, offering a stylish design, solid build quality, and multiple powertrain choices at an accessible price point. It is powered by a 1.2-litre Revotron petrol engine and is also available with factory-fitted CNG variants, making it one of the most versatile hatchbacks in the entry-level segment.Until now, the Tiago—like other small cars under 4 metres with petrol engines up to 1.2 litres—was taxed at 28% GST plus 1% cess (29% total tax). However, under the new GST 2.0 structure effective from September 22, 2025, this has been replaced with a flat 18% GST.This results in a significant price drop, making the Tiago more affordable across its petrol and CNG range.

The Maruti Suzuki Fronx has quickly become one of the most popular compact crossovers in India. With bold SUV-inspired styling, modern features, and the option of multiple powertrains, the Fronx caters to a wide audience — from first-time SUV buyers to young families and commuters seeking a stylish yet affordable option. Offered with a 1.2-litre petrol engine, a 1.0-litre turbo-petrol engine for enthusiasts, and a CNG variant for economy-focused buyers, the Fronx delivers versatility unmatched in its class.Under the old GST system, however, the Fronx was taxed at 28% GST plus 1% cess, totalling 29%. This inflated its ex-showroom price, making higher trims less affordable in a price-sensitive market.With the rollout of GST 2.0, effective September 22, 2025, the cess has been scrapped and replaced with a flat 18% GST rate for small petrol and CNG cars under 4 metres. This has led to an 11% reduction in tax, leading to a price drop by ₹64,000–₹1.11 lakhs depending on the variant. For the Fronx, this makes it an even stronger competitor to rivals like the Hyundai Venue, Tata Nexon, and Kia Sonet (sub-4m petrol trims).

The Tata Nexon is one of the best-selling compact SUVs in India. It is loved for its bold styling, safety credentials, and versatile powertrain options. It is offered with 1.2-litre turbo-petrol, 1.5-litre diesel, and factory-fitted CNG variants, making it suitable for a wide range of buyers.With the implementation of GST 2.0 from September 22, 2025, Nexon buyers are set to enjoy lower ex-showroom prices. This is because small cars and SUVs under 4 metres in length now attract only 18% GST with no cess, compared to the earlier structure of 28% GST plus 1% cess (petrol/CNG) and 28% GST plus 3% cess (diesel). This has resulted in a price drop across all Nexon variants.

The Maruti Suzuki Dzire has been India’s best-selling compact sedan for years, offering buyers a blend of practicality, efficiency, and affordability. Built on the same platform as the Swift, the Dzire adds the extra boot space and comfort that many families look for, without straying far from the affordability and efficiency of a hatchback.With its refined 1.2-litre petrol engine, strong fuel efficiency figures, and Maruti’s reputation for low maintenance costs, the Dzire remains the go-to choice for buyers in the compact sedan segment.Now, the Dzire has become even more appealing thanks to the government’s recent revision of the Goods and Services Tax (GST). Effective September 22, 2025, the GST applicable to small cars—vehicles under 4 metres in length with petrol/CNG engines up to 1.2 litres—has been reduced from 28% plus cess to a flat 18% with no cess.This tax revision has translated into a notable reduction in ex-showroom prices across the Dzire’s entire variant line-up.

The Tata Punch has become a household name in India’s micro-SUV segment, thanks to its rugged stance, compact footprint, and excellent safety rating. Positioned below the Nexon, the Punch caters to buyers looking for an affordable SUV with the convenience of petrol and factory-fitted CNG options.With the introduction of the GST 2.0 reforms from September 22, 2025, Punch buyers will enjoy lower prices across all trims. The simplified tax regime reduces the burden on small cars under 4 metres in length with petrol and CNG powertrains. Earlier, these cars attracted 28% GST plus 1% cess (29% total). With the new GST policy, the cess is eliminated, and only a flat 18% GST is applied. This has resulted in a price drop across the Punch variants.

The Volkswagen Virtus has become a popular choice in India’s premium sedan market, combining German engineering, sharp styling, and a spacious cabin with modern features. Built on the MQB-A0-IN platform, it offers two engine options — a 1.0-litre TSI petrol for efficiency and a 1.5-litre TSI petrol with Active Cylinder Technology for added performance. Positioned as a rival to the Honda City, Hyundai Verna, and Škoda Slavia, the Virtus is praised for its driving dynamics and solid build quality.Until recently, though, the Virtus was burdened by India’s older GST framework. As a mid-size sedan (over 4 metres, up to 1.5L engines), it attracted 28% GST and 17% cess, taking the total tax to 45%. This pushed ex-showroom prices higher, particularly for top-end 1.5 TSI DSG variants, limiting affordability in a highly competitive segment.With the rollout of GST 2.0, effective from September 22, 2025, the cess has been eliminated, and mid-size sedans like the Virtus are now taxed at a flat 40% GST rate. This 5% reduction has brought a significant price cut of ₹40,000–₹1.63 lakhs, making the Virtus more appealing to buyers looking for a premium sedan at a better value.

The Volkswagen Tiguan R-Line stands as one of the most premium SUVs in Volkswagen’s Indian lineup. With bold European styling, a feature-rich cabin, and a powerful 2.0-litre turbo-petrol engine paired with 4MOTION all-wheel-drive, it caters to buyers who demand performance and luxury in equal measure. Known for its robust build quality and refined driving dynamics, the Tiguan R-Line has been a popular choice for those seeking a step above mainstream mid-size SUVs.Until recently, though, the Tiguan R-Line was burdened by one of the highest tax rates in the Indian automotive market. As a large SUV with an engine over 1,500cc and a length above 4 metres, it fell under the 50% tax bracket (28% GST + 22% cess). This significantly inflated its ex-showroom price, making it less accessible despite its premium credentials.With the introduction of GST 2.0, effective from September 22, 2025, this tax structure has been simplified. SUVs like the Volkswagen Tiguan R-Line are now taxed at a flat 40% GST, with the cess component removed altogether. This 10% reduction in tax has led to a major price cut of ₹3.26 lakhs, making the Tiguan R-Line a far more attractive proposition for luxury SUV buyers.

The Volkswagen Taigun has made a strong impression in India’s mid-size SUV segment, offering German engineering, a bold design, and a feature-rich cabin. Built on Volkswagen’s MQB-A0-IN platform, the Taigun shares its underpinnings with the Škoda Kushaq but stands apart with its distinct styling and brand appeal. It offers two turbocharged petrol engines a 1.0-litre TSI for efficiency and everyday usability, and a 1.5-litre TSI with cylinder deactivation technology for those who value performance.Under the older GST structure, SUVs like the Taigun attracted 28% GST and 17% cess, totalling 45%. This significantly inflated ex-showroom prices, particularly for higher-end trims, and reduced cost competitiveness in a segment that already sees tough rivalry from the Hyundai Creta, Kia Seltos, and Honda Elevate.With the rollout of GST 2.0, effective September 22, 2025, the cess has been abolished, and all mid-size SUVs are now taxed at a flat 40% GST rate. This 5% reduction in tax has resulted in a price drop of ₹40,000–₹1.63 lakhs across Taigun variants, making it even more competitive against its Korean and Japanese rivals.

The Škoda Slavia has established itself as a premium mid-size sedan in India, blending European design with practical everyday usability. Known for its sharp styling, refined interiors, and safety-focused engineering, the Slavia competes in a space traditionally dominated by Japanese and Korean rivals. With both 1.0-litre and 1.5-litre turbocharged petrol engines, it offers a wide range of choices from efficiency-focused commuters to performance-driven enthusiasts all while upholding Škoda’s reputation for quality.Until recently, however, Slavia’s ex-showroom pricing was weighed down by India’s GST and cess structure. As a petrol sedan over 4 metres in length, it fell under the mid-size category, attracting 28% GST and 17% cess, bringing the total tax to 45%. This significantly inflated its pricing, especially for top-spec trims.With the rollout of GST 2.0, effective September 22, 2025, the cess has been removed and replaced by a flat 40% GST rate. This 5% reduction in tax has brought a meaningful price drop by nearly ₹37,000–₹63,000, depending on the variant. For a premium sedan like the Slavia, this makes it more attractive against rivals such as the Hyundai Verna, Honda City, and Volkswagen Virtus.