Tata Tiago: If you’re looking for a car that’s stylish, offers solid quality, and fits your budget, the Tata Tiago is a great choice. The government’s new GST rates have made this car even more affordable. This means it’s the perfect time for those dreaming of owning their first car.
Significant Price Reduction on the Tata Tiago

Previously, the Tata Tiago was subject to 28% GST and 1% cess, totaling 29% tax. However, the government has now reduced the tax on small vehicles to just 18%. Customers are directly benefiting from this change. Prices for both petrol and CNG variants have fallen by between ₹42,000 and ₹72,000.
For example, if you’re looking to purchase the base Tiago XE model, it used to cost around ₹5 lakh, but now it’s down to around ₹4.57 lakh. Customers will save up to ₹72,000 on top variants like the XZA CNG.
Why the price reduction
This significant price drop is due to the new GST structure. Previously, the tax rate was 29%, but now it’s down to just 18%. This means customers are receiving a direct benefit of 11%. This has made not only the Tata Tiago, but other vehicles in this category, cheaper.
When will the new prices be effective
The new GST rates come into effect from September 22, 2025. This means that if you purchase a Tiago after this date, you will benefit from the new prices. This will make it easier for families who have previously been holding back due to budget constraints to purchase a car.
Why is the Tata Tiago special

The Tiago has long been a popular choice in the entry-level hatchback segment. Its stylish design, robust build quality, and 1.2-liter Revotron petrol engine make it a reliable choice. Furthermore, factory-fitted CNG variants are also available, making the car even more economical and environmentally friendly.
If you’ve been considering buying a car, this is a golden opportunity. The new GST rates have made the Tata Tiago significantly more affordable. Whether you choose the petrol or CNG variant, you’ll save thousands of rupees.
Disclaimer: The prices given in this article are estimates based on the new GST rates. The final ex-showroom price may vary slightly depending on the company and dealership.
Also Read:
Tata Nano CNG emax: Affordable Green Car with 36 km/kg Mileage Starting at ₹2.45 Lakh
Tata Motors Gears Up for 3 New Sub-4m SUVs, Features, Launch Timeline and Price Details Inside











