Volkswagen India has joined the list of carmakers passing on the GST 2.0 tax relief to customers. With the new tax structure for SUVs now in effect, Volkswagen has announced revised prices across its model range. The new pricing will be applicable from 22 September 2025.
What is GST 2.0 for SUVs?
The government has introduced a revised GST framework for SUVs under GST 2.0. Earlier, SUVs were taxed at around 45–48%, but under the new rule, the rate has been lowered to 40%. This has created significant savings for customers.
Volkswagen has confirmed that it will pass on the full benefit to buyers, making its cars more affordable.
Model-Wise Benefits
The relief varies depending on the model. Here is how much buyers can save:
- Volkswagen Virtus – Up to ₹66,900
- Volkswagen Taigun – Up to ₹68,400
- Volkswagen Tiguan R-Line – Up to ₹3.27 lakh
On top of these GST-linked savings, Volkswagen is also offering additional discounts between ₹1.61 lakh and ₹3 lakh on select variants.
Why This Matters for Customers
The SUV segment is growing rapidly in India, but high taxation has always kept prices on the higher side. With GST 2.0, cars like the Taigun and Tiguan become more attractive options against their rivals.
For budget-conscious buyers, even a saving of ₹60,000 to ₹70,000 can make a big difference in affordability. For premium SUV buyers, the Tiguan R-Line’s benefit of over ₹3 lakh makes it one of the biggest price cuts in recent years.
Volkswagen’s Strategy
Volkswagen has always positioned its cars as premium yet practical. By passing on the entire tax benefit, the brand is showing commitment towards its customers. At the same time, offering additional festive-season discounts can help boost sales during the crucial second half of the year.
Conclusion
The GST 2.0 tax revision is proving to be a positive move for car buyers, and Volkswagen’s decision to fully transfer the benefits makes its models even more appealing. With price cuts of up to ₹3.27 lakh, buyers of the Virtus, Taigun, and Tiguan R-Line now have stronger reasons to choose Volkswagen over competitors.
For customers planning a purchase, this is the right time to take advantage of both the GST savings and additional festive offers.
FAQs
What is GST 2.0 in India for SUVs?
GST 2.0 has reduced the tax rate on SUVs from about 45–48% to 40%, lowering the overall price.
Which Volkswagen model got the biggest price cut?
The Volkswagen Tiguan R-Line received the highest benefit of up to ₹3.27 lakh.
Are these price cuts permanent?
Yes, the GST-based price cut is permanent, but additional festive discounts may be limited for a short period.
Do these benefits apply across India?
Yes, the GST 2.0 benefit applies nationwide, but additional offers may vary by dealer and state.
Should I buy a Volkswagen car now or wait?
With GST relief and festive discounts available together, this is one of the best times to book a Volkswagen car.