Mahindra has announced that, starting September 6, 2025, it will pass on the full benefits of the revised GST rates to its customers. The move comes in the wake of the government’s GST 2.0 reforms, aimed at reducing tax burdens on ICE cars and SUVs, making Mahindra’s range of vehicles more affordable across segments. However, electric vehicles (EVs) will continue to attract a 5% GST, as per the previous tax structure, meaning there is no additional benefit for Mahindra’s EV offerings under this revision.
Here’s a detailed look at the model-wise benefits for Mahindra’s SUVs: –
| Models | Current GST + Cess | New GST | Full GST Benefits starting 6th Sept |
| Bolero amd Bolero Neo | 31% | 18% | Up to Rs 1.27 lakh |
| XUV3XO (Petrol) | 29% | 18% | Up to Rs 1.40 lakh |
| XUV3XO (Diesel) | 31% | 18% | Up to Rs 1.56 lakh |
| THAR 2WD (Diesel) | 31% | 18% | Up to Rs 1.35 lakh |
| THAR 4WD (Diesel) | 48% | 40% | Up to Rs 1.01 lakh |
| Scorpio Classic | 48% | 40% | Up to Rs 1.01 lakh |
| Scorpio-N | 48% | 40% | Up to Rs 1.45 lakh |
| Thar Roxx | 48% | 40% | Up to Rs 1.33 lakh |
| XUV700 | 48% | 40% | Up to Rs 1.43 lakh |
Note: The GST benefits mentioned here will vary depending on the selected model and variant.

The GST reduction makes Mahindra’s petrol and diesel vehicles cheaper, with buyers saving up to ₹1.56 lakh on some models. Smaller SUVs like the Bolero and XUV3XO see bigger benefits in terms of absolute savings, while larger models like the XUV700 and Thar 4WD get smaller price cuts in percentage terms because their taxes were already higher.
Electric vehicles (EVs) continue to get 5% GST. This means while ICE vehicles are cheaper now, EVs don’t get any extra price advantage. Buyers looking to go electric won’t see the same kind of savings, keeping EVs relatively expensive compared to the newly cheaper petrol and diesel options.
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