The Indian automotive market is buzzing with excitement as Volkswagen and Skoda announce significant price reductions under the revised GST 2.0 structure, effective from September 22, 2025. With savings of up to ₹3.27 lakh on popular models like the Volkswagen Virtus, Taigun, and Tiguan R-Line, and similar cuts on Skoda’s Kushaq and Slavia, car buyers have plenty to celebrate this festive season. To sweeten the deal, both brands are offering limited-time festive discounts valid until September 21, 2025. Here’s a closer look at what these price cuts mean for buyers.

GST 2.0: A Game-Changer for Car Buyers

The Indian government’s GST 2.0 reforms have restructured tax slabs, merging them into two primary rates: 5% and 18%, with a 40% slab for premium vehicles. For cars over 4 meters, the GST rate has increased to 40%, but the removal of the compensation cess (previously 15-22%) has led to overall price reductions. This change, combined with lower taxes on auto parts, reduces production costs, enabling manufacturers like Volkswagen and Skoda to pass on savings to customers.

Volkswagen’s Price Slashed Lineup

Volkswagen India is making its vehicles more accessible with substantial price cuts across its portfolio:

• Volkswagen Virtus: This sleek sedan, a favorite in the mid-size segment, now sees a price reduction of up to ₹66,900. With prices starting at approximately ₹10.99 lakh, the Virtus is a compelling choice for those seeking style, performance, and safety.
• Volkswagen Taigun: The compact SUV, known for its 5-star GNCAP rating, gets a price cut of up to ₹68,400. Priced between ₹11.80 lakh and ₹19.83 lakh, the Taigun combines bold design with robust performance.
• Volkswagen Tiguan R-Line: The flagship SUV enjoys the largest reduction, up to ₹3.27 lakh, bringing its price down from ₹49 lakh. This makes the premium Tiguan R-Line more attainable for luxury SUV buyers.

In addition to GST benefits, Volkswagen is offering festive discounts: up to ₹1.61 lakh on Virtus, ₹2.5 lakh on Taigun, and ₹3 lakh on Tiguan R-Line for bookings made before September 21, 2025.

Skoda Joins the Festive Frenzy

Skoda Auto India is also capitalizing on GST 2.0, offering attractive price reductions:

• Skoda Kushaq: This stylish SUV sees a price drop of up to ₹66,000, with prices starting at ₹10.99 lakh. Skoda is also bundling limited-time festive offers of up to ₹2.5 lakh.
• Skoda Slavia: The flagship sedan gets a price cut of up to ₹63,000, starting at ₹10.49 lakh. Buyers can also enjoy discounts of up to ₹1.2 lakh until September 21.

These reductions make Skoda’s offerings highly competitive in the compact SUV and sedan segments.

Why Now Is the Time to Buy

With the festive season approaching, the combination of GST 2.0 benefits and limited-period discounts creates a golden opportunity for car buyers. Whether you’re eyeing the sporty Volkswagen Virtus, the rugged Taigun, the premium Tiguan R-Line, or Skoda’s Kushaq and Slavia, these price cuts make premium vehicles more affordable. However, the festive offers are only valid until September 21, 2025, so acting quickly is key.

Conclusion

The GST 2.0 reforms have ushered in a wave of savings for car buyers, and Volkswagen and Skoda are leading the charge with significant price reductions. With discounts of up to ₹3.27 lakh and additional festive offers, models like the Virtus, Taigun, Tiguan R-Line, Kushaq, and Slavia are more accessible than ever. Visit your nearest Volkswagen or Skoda dealership to explore these deals and drive home your dream car this festive season.

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