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Toyota Kirloskar Motor cuts prices on Fortuner, Innova Crysta, Vellfire, Hilux, Camry, Legender, Urban Cruiser Hyrider, and Glanza after GST reduction, effective September 22.
Toyota Fortuner. (File photo)
Toyota Kirloskar Motor (TKM) has reduced the prices of many of its popular cars and SUVs. This decision has been taken after the GST Council recently reduced tax rates in the automobile sector. The company has clearly said that the full benefit of the GST reduction will be given to the customers. The new prices will be effective from September 22.
Toyota’s price cut announcement followed other competitors like Tata Motors and Renault which have announced the rate cuts recently.
The biggest relief will be given to those who buy Fortuner. The price of this SUV will now be reduced by a maximum of ₹ 3.49 lakh. Innova Crysta will be reduced by ₹ 1.80 lakh and Innova Hycross by ₹ 1.15 lakh. Luxury MPV Vellfire will be cheaper by ₹ 2.78 lakh, while the price of Hilux pickup will be reduced by ₹ 2.52 lakh. Similarly, the prices of other models will also see a decline. There has been a reduction of ₹ 1.01 lakh on Camry, ₹ 3.34 lakh on Legender, ₹ 65,400 on Urban Cruiser Hyrider and ₹ 85,300 on Glanza.
Toyota Vice President Varinder Wadhwa said, “We thank the Government of India for this historic reform. This will make cars more affordable for customers and will bring new life to the auto sector. This step will boost market demand just before the festivals.”
GST on vehicles has been reduced
The government has made a big change in the GST structure. Under the new system, small vehicles – that is, cars with petrol engines up to 1200 cc and diesel engines up to 1500 cc, whose length is up to 4000 mm, will now be charged 18% GST. While big cars – i.e. vehicles with petrol engines of more than 1200 cc and diesel engines of more than 1500 cc and vehicles longer than 4000 mm will be charged 40% GST.
It means that popular hatchbacks and compact sedans, including Maruti Swift, Hyundai i20, Tata Altroz, and Honda Amaze, might become more affordable.
Cars with engine capacity above 1200cc (petrol/CNG/LPG) or above 1500cc (diesel) or length more than 4000 mm will now attract a 40% GST, as compared with 28% (plus 17%-22% compensation cess) earlier. It means that the tax on such vehicles has been reduced to 40%, compared with 45%-50%.
It covers bigger sedans, premium SUVs, and imported models. Customers looking at vehicles like Toyota Fortuner, Mahindra XUV700 (higher variants), or imported luxury sedans stand to gain, from September 22.
Varun Yadav is a Sub Editor at News18 Business Digital. He writes articles on markets, personal finance, technology, and more. He completed his post-graduation diploma in English Journalism from the Indian Inst…Read More
Varun Yadav is a Sub Editor at News18 Business Digital. He writes articles on markets, personal finance, technology, and more. He completed his post-graduation diploma in English Journalism from the Indian Inst… Read More
September 07, 2025, 10:56 IST
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