Jaguar Land Rover India Implements Significant GST Rate Cuts, Passes Savings up to Rs 30.4 Lakh to Customers

The premium luxury SUV has also been transitioned with the latest GST reforms in India. Based on the new GST 2.0 tax regime, the latest addition to the list is Tata Motors' JLR. Jaguar Land Rover India announced on September 9, 2025, that the brand welcomed the new GST tax slab and decided to reduce the prices of its models across the portfolio. This major step will be a boost to customer appeal by passing on the full benefits of the recent GST rationalization to buyers.

As per the latest reports, the new tax regime will gradually help the automotive sector to grow in sales ahead of this festive season. With the introduction of the new GST reform 2.0, JLR will also align it with the revised prices of all the models across the portfolio. After the implementation of this price revision, JLR’s Range Rover, Defender, and Discovery models now come with substantial price cuts, making premium SUVs more accessible to Indian buyers amid a competitive luxury market landscape.

GST Reform 2.0: What Changed?

The GST Council of India recently reported on making new amendments to the existing GST rationalization. Under the 56th GST Council Meeting held in parliament last week, it was announced that the new GST tax regime will be introduced to the automotive industry. For this, the government of India introduced a streamlined tax structure for cars, scooters, bikes, and commercial vehicles.

With the implementation of the latest GST reforms 2.0, petrol cars of mild or strong hybrid with engine capacity below or up to 1200 cc and diesel cars below or up to 1500 cc will be placed under the 18% tax slab, and the automotives above or beyond these two engine specifications and with dimensions more than 4 m will be categorized under the 40% tax regime.

This effectively lowers the taxation for many vehicles, including luxury SUVs. Electric vehicles continue to enjoy a 5% GST rate. Additionally, automobile parts now have a uniform 18% tax rate, simplifying the supply chain costs.

From The Director’s Desk

Speaking about the recent changes made to the taxation of cars under the new tax slab 2.0, Mr. Rajan Amba, Managing Director of JLR India, said, “We gratefully acknowledge the new tax reform 2.0 by the government of India. The GST rationalization on premium luxury vehicles is a welcome move for customers and even for the automotive industry. This move will provide much-needed improvements, reinforcing our confidence in and commitment to India’s luxury market.”

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Price Benefits Across JLR’s Portfolio

The introduction of the new tax regime will make the JLR models accessible to the aligned customers in India. The Range Rover series drops the existing prices with effect from September 22, 2025. With a price reduction, some benefits ranging between Rs 4.6 lakh and Rs 30.4 lakh might be offered to the customers with additional discounts during the festive season that is ahead.

On the other hand, the Defender sees reductions from Rs 7 lakh up to Rs 8.6 lakh, while the Discovery model prices have dropped between Rs 4.5 lakh and Rs 9.9 lakh. The Discovery is the most affordable car in the lineup, so lowering the price may make it more accessible to a wider range of customers.

Model-wise Price Reduction Table

CarBike360 Says

For Indian luxury car buyers, these GST-induced price reductions mean greater value propositions. The reduction in taxation improves affordability, enabling more customers to consider high-end SUVs like the Range Rover, Defender, and Discovery. As all JLR models are good, and with the reduction in GST cut rates, they will play an important role in establishing the brand in the Indian premium segment of the automotive market.