Mahindra & Mahindra Ltd. (M&M), India’s leading SUV manufacturer, has taken a customer-friendly step by announcing that it will pass on the full benefits of GST reduction to buyers across its entire ICE (Internal Combustion Engine) SUV portfolio. This decision comes after the 56th GST Council meeting, held on September 3, 2025, under the leadership of Finance Minister Nirmala Sitharaman, where GST 2.0 was rolled out.
What This Means for SUV Buyers
The reduction in GST rates translates into lower on-road prices, making Mahindra SUVs more accessible for customers. With strong demand for rugged, feature-packed, and value-driven SUVs, this move is expected to further strengthen Mahindra’s position in the Indian automobile market.
Customers can now expect direct financial savings while buying popular SUVs such as the Bolero, Scorpio, Thar, XUV3XO, XUV700, and the newly launched Thar Roxx.
| Model | Current GST + Cess | New GST | Full GST Benefit (₹ Lakh) |
|---|---|---|---|
| Bolero/Neo | 31% | 18% | 1.27 |
| XUV3XO (Petrol) | 29% | 18% | 1.40 |
| XUV3XO (Diesel) | 31% | 18% | 1.56 |
| Thar 2WD (Diesel) | 31% | 18% | 1.35 |
| Thar 4WD (Diesel) | 48% | 40% | 1.01 |
| Scorpio Classic | 48% | 40% | 1.01 |
| Scorpio-N | 48% | 40% | 1.45 |
| Thar Roxx | 48% | 40% | 1.33 |
| XUV700 | 48% | 40% | 1.43 |
Mahindra Bolero/Neo – India’s most trusted workhorse now becomes even more affordable with a benefit of up to ₹1.27 lakh.
XUV3XO – Both petrol and diesel variants get significant savings, with the diesel version topping the chart at ₹1.56 lakh.
Mahindra Thar – Whether customers choose the 2WD or the adventure-ready 4WD, savings range from ₹1.01 lakh to ₹1.35 lakh.
Scorpio Series – The Scorpio Classic and Scorpio-N, already popular among SUV enthusiasts, now offer benefits above ₹1 lakh.
XUV700 – Mahindra’s flagship SUV gets a benefit of ₹1.43 lakh, making it an even stronger contender in the premium SUV segment.
Mahindra’s decision to pass on the full GST benefits comes at a time when the Indian SUV market is witnessing record demand growth. With GST rates rationalized, the company has chosen not to absorb the margins but instead transfer them directly to customers.
This proactive step reinforces Mahindra’s commitment to customer satisfaction while giving buyers a reason to upgrade to their dream SUV without stretching their budget.
For customers planning to buy a Mahindra SUV, there has never been a better time. With benefits up to ₹1.56 lakh, lower GST rates, and Mahindra’s strong line-up of rugged and reliable SUVs, buyers can now enjoy more value for money.
From the Bolero to the XUV700, the savings are substantial across the range, making this one of the most impactful announcements for SUV lovers in 2025.