Prospective buyers of the Mahindra XUV700 may find an attractive opportunity, especially around the Diwali season. The automaker has implemented significant price reductions on the XUV700, reflecting the benefits of the recent Goods and Services Tax (GST) rate cut. This adjustment precedes the implementation of new rates on September 22nd. Mahindra has also detailed the specific savings across different variants of their popular models.
The tax rate for large SUVs has been reduced from 48% to 40%, resulting in savings ranging from Rs 88,900 to Rs 1.43 lakh, depending on the chosen variant. The XUV700 is classified as an SUV, and the new GST rates apply to vehicles exceeding 4 meters in length and with an engine capacity greater than 1,500 cc. Previously, these vehicles were subject to a 28% GST plus a 20% cess, totaling 48%. The updated regulations simplify the tax structure to a flat 40%.
