The Indian automotive industry has witnessed a significant boost following the GST rate cut announced at the 56th GST Council meeting in September 2025. The revised tax structure has reduced GST rates for sub-4-meter vehicles to 18% and larger SUVs to a flat 40%, with the removal of the compensation cess, leading to substantial price reductions across popular models. Leading manufacturers like Mahindra and Tata Motors have passed on the full benefits of these GST reforms to customers, making their SUVs and cars more affordable. This article delves into the updated prices and key highlights of the Mahindra Scorpio N price, Tata Nexon after GST cut, Mahindra XUV 3XO, Mahindra XUV700, and Tata Safari, along with the broader impact on Mahindra and Tata cars after GST.
Mahindra Scorpio N Price
The Mahindra Scorpio N price has seen a significant reduction following the GST cut, with savings of up to ₹1.45 lakh. Previously taxed at an effective rate of 48% (28% GST + 22% cess), the Scorpio N now falls under the 40% GST slab, effective from September 6, 2025. The ex-showroom price for the Scorpio N starts at approximately ₹13.99 lakh for the base Z2 variant and goes up to ₹24.55 lakh for the top-end Z8L 4WD diesel automatic. With the GST reduction, buyers can expect on-road prices to be lower by ₹1.01 lakh to ₹1.45 lakh, depending on the variant and location.
The Scorpio N remains a top choice in the mid-size SUV segment, offering a rugged design, powerful diesel and petrol engines (2.0L turbo-petrol and 2.2L diesel), and an optional 4WD drivetrain. Its robust feature set includes a 10.25-inch touchscreen, Level 2 ADAS, and a 5-star Bharat NCAP safety rating, making it a compelling option for adventure enthusiasts and families alike.
Tata Nexon After GST Cut
The Tata Nexon after GST cut has become one of the biggest beneficiaries of the revised tax structure, with price reductions of up to ₹1.55 lakh. Previously taxed at 29% (petrol) and 31% (diesel), the Nexon now attracts an 18% GST rate for both petrol (under 1200cc) and diesel (under 1500cc) variants, effective from September 22, 2025. The ex-showroom price for the Tata Nexon starts at approximately ₹8 lakh for the base Smart variant and goes up to ₹15.60 lakh for the top-end Fearless+ S diesel. With the GST cut, buyers can expect savings ranging from ₹68,000 to ₹1.55 lakh, with diesel variants seeing the highest reductions.
The Nexon, a sub-4-meter compact SUV, is known for its bold styling, 5-star Global NCAP safety rating, and versatile powertrain options, including petrol, diesel, and CNG. Features like a 10.25-inch touchscreen, ventilated seats, and Level 2 ADAS make it a strong competitor against the Mahindra XUV 3XO and Hyundai Venue.
Mahindra XUV 3XO
The Mahindra XUV 3XO has emerged as a standout in the sub-4-meter SUV segment, with price cuts of up to ₹1.56 lakh following the GST reduction. Previously taxed at 29–31%, the XUV 3XO now falls under the 18% GST slab, effective from September 6, 2025. The ex-showroom price starts at ₹7.99 lakh for the base M1 petrol variant and goes up to ₹14.99 lakh for the top-end AX7 L diesel. The petrol variants see savings of up to ₹1.40 lakh, while diesel variants offer the maximum reduction of ₹1.56 lakh.
The XUV 3XO is powered by a 1.2L turbo-petrol (110 hp) or a 1.5L diesel (115 hp) engine, paired with manual or automatic transmissions. It boasts a modern design, a 10.25-inch touchscreen, a panoramic sunroof, and Level 2 ADAS. Its competitive pricing and feature-rich profile make it a direct rival to the Tata Nexon and Maruti Brezza.
Mahindra XUV700
The Mahindra XUV700 has also benefited from the GST cut, with price reductions of up to ₹1.43 lakh. Previously taxed at 48%, the XUV700 now falls under the 40% GST slab, effective from September 6, 2025. The ex-showroom price starts at approximately ₹14.49 lakh for the base MX variant and goes up to ₹26.99 lakh for the top-end AX7 L AWD diesel automatic. Buyers can expect savings ranging from ₹1.01 lakh to ₹1.43 lakh, depending on the variant.
The XUV700 is Mahindra’s flagship SUV, offering a premium cabin, powerful 2.0L turbo-petrol (200 hp) and 2.2L diesel (185 hp) engines, and a 5-star Bharat NCAP rating. Features like a dual 10.25-inch infotainment and instrument cluster, panoramic sunroof, and Level 2 ADAS make it a strong contender against the Tata Safari and Hyundai Alcazar.
Tata Safari
The Tata Safari, a premium mid-size SUV, has seen a price reduction of up to ₹1.45 lakh following the GST cut. Previously taxed at 48%, the Safari now falls under the 40% GST slab, effective from September 22, 2025. The ex-showroom price starts at approximately ₹15.49 lakh for the base Smart variant and goes up to ₹27.34 lakh for the top-end Accomplished+ diesel automatic. The GST reduction translates to savings of ₹1.01 lakh to ₹1.45 lakh, depending on the variant.
The Safari is powered by a 2.0L diesel engine (170 hp), available with manual or automatic transmissions, and offers a commanding road presence, a 5-star Global NCAP rating, and features like a 12.3-inch touchscreen, ventilated seats, and Level 2 ADAS. It competes directly with the Mahindra XUV700 and MG Hector.
Impact of GST Cut on Mahindra and Tata Cars
The GST rate cut has significantly reshaped the pricing landscape for Mahindra and Tata cars after GST. For sub-4-meter vehicles like the Mahindra XUV 3XO and Tata Nexon, the reduction from 29–31% to 18% has led to price drops of up to 13%, making these models more accessible to budget-conscious buyers. Larger SUVs like the Mahindra Scorpio N, Mahindra XUV700, and Tata Safari, previously taxed at 48–50%, now benefit from a flat 40% GST rate, resulting in savings of up to 8–10%.
- Mahindra has taken the lead by implementing price cuts across its entire ICE SUV portfolio from September 6, 2025, ahead of the official GST implementation date of September 22, 2025. Other models like the Mahindra Thar (up to ₹1.35 lakh savings) and Bolero (up to ₹1.27 lakh savings) have also become more affordable.
- Tata Motors has announced price reductions across its lineup, including the Tiago (up to ₹75,000), Tigor (up to ₹80,000), Altroz (up to ₹1.10 lakh), Punch (up to ₹85,000), and Curvv (up to ₹65,000), effective from September 22, 2025.
The removal of the compensation cess and the simplified two-slab GST structure (18% for sub-4-meter cars and 40% for larger vehicles) are expected to boost demand, particularly during the festive season starting with Navratri on September 22, 2025. This move aligns with the government’s aim to enhance affordability and stimulate growth in the automotive sector.
Conclusion
The GST rate cut has made Mahindra and Tata cars after GST significantly more affordable, with models like the Mahindra Scorpio N price dropping by up to ₹1.45 lakh, Tata Nexon after GST cut offering savings of up to ₹1.55 lakh, Mahindra XUV 3XO up to ₹1.56 lakh, Mahindra XUV700 up to ₹1.43 lakh, and Tata Safari up to ₹1.45 lakh. These reductions, combined with robust safety ratings, advanced features, and versatile powertrains, make these SUVs highly attractive in their respective segments. With Mahindra implementing price cuts from September 6, 2025, and Tata Motors following suit from September 22, 2025, now is an opportune time for buyers to explore these models. Visit authorized Mahindra and Tata dealerships for exact pricing and test drives to experience these feature-packed SUVs firsthand.
