Mercedes-Benz Calls for Tax Overhaul: Could Your Next Car Get Cheaper?
Luxury carmaker Mercedes-Benz India has called for a uniform road tax structure across states, urging policymakers to streamline vehicle taxation in order to support long-term growth in the automobile industry.
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The appeal comes on the heels of recent changes to the Goods and Services Tax (GST) on automobiles. Earlier this month, the GST Council introduced GST 2.0, reducing the total tax burden on passenger vehicles and two-wheelers with engines under 350 cc. These changes will come into effect from September 22, 2025, providing relief to automakers and potentially lowering vehicle prices for consumers.
Industry experts say the combined impact of the GST rationalization and festive season offers could drive strong demand and boost sales of both passenger vehicles and two-wheelers in the coming months.