Toyota cars become pricier due to the increased cess; price hike ranges between Rs. 13,000 and Rs. 1.60 lakh
It seems the good times for the car buyers is over now as GST Council has increased the cess amount over and above GST slab. As an effect of the three-fold cess hike, Toyota has increased price of its products ranging between Rs. 13,000 and Rs. 1.60 lakh. The move comes right ahead of the festive season when Indian auto market sees a massive sales surge across the country.
With the new price hike implemented, the Toyota Fortuner is the most affected model as its price has been increased by up to Rs. 1.60 lakh. The popular MPV from the brand Toyota Innova Crysta’s pricing has been hiked by up to Rs. 78,000, while the Corolla Altis and Etios Platinum are pricier by up to Rs. 72,000 and Rs. 13,000 respectively.
Also read: New GST Hike: Small Cars Unaffected But Large Cars And SUVs Get Costlier
The company says, with this price hike, pricing of the above mentioned products have become similar as the pre-GST era. However, pricing of the small cars and hybrid models remain same as these categories didn’t receive any cess hike. With this price hike, sales of the Japanese automaker are likely to be impacted during nearing festive season.
Under the revised tax system, the mid-size cars are slapped with 45% total tax incidence that includes 17% cess over and above 28% GST. The large cars attract 48% total tax amount that comprises 20% cess over and above 28% GST. Also, the SUVs with length exceeding 4,000 mm and having ground clearance of 170 mm and above are slapped with 50% total tax amount that includes 22% cess over and above 28% GST.
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The small petrol and diesel cars, hybrid and electric powered models and vehicles that carry up to 13 occupants were left out in the latest cess revision. The large cars, luxury cars and SUVs are the most affected models under this revised cess structure.