Toyota Innova HyCross Hybrid To get 5.5 lakh Cheaper If Nitin Gadkari’s Proposal Is Accepted: Details
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Union Minister for Road Transport and Highways, Nitin Gadkari, often comes up with new ideas that make headlines. He recently shared a proposal that might help those planning to buy a hybrid car: a substantial reduction in taxes on hybrid vehicles. Speaking at News18’s Rising Bharat Summit 2024, Mr. Gadkari proposed reducing the current 48 percent GST on hybrid vehicles to 12 percent. This reduction could significantly affect the prices of popular hybrid cars like the Toyota Innova Hycross in the market.
The Toyota Innova Hycross, launched some time ago, has captured buyers’ attention, much like its predecessors, the Innova and Innova Crysta. Toyota offers a strong hybrid version of the MPV in the market, with prices starting at Rs 25.72 lakh ex-showroom and going up to Rs 30.698 lakh ex-showroom.
For this discussion, we are only considering the top-end hybrid variant of the Innova Hycross. Currently, if you plan to buy the top-end ZX(O) Hybrid Innova Hycross, you will have to spend Rs 35.5 lakh to get the car on the road. This price includes the ex-showroom price, RTO charges, insurance, CESS, and GST for both state and center.
In the current scenario, the ex-showroom price includes 28 percent GST (both state and center) and 15 percent CESS. If we remove these two elements, the ex-factory cost of the Innova Hycross Hybrid is Rs 21.5 lakh only.
Now, let’s consider the proposal put forward by Mr. Gadkari. If the GST on hybrid cars is reduced to 12 percent, it would affect the overall price of the car. After the reduction of GST, the ex-showroom cost of the Innova Hycross Hybrid will be around Rs 25.5 lakh. This includes 15 percent CESS and 12 percent GST.
This reduction will make a significant difference in the price of this vehicle. If you notice, the ex-showroom price is around Rs 5.5 lakh less than the current price. With the revised tax amount, there would be a drop in the on-road price of the vehicle as well. Depending on the city you are from, we can see a difference of around Rs 7-10 lakh in the on-road price of the vehicle.
Similarly, other hybrid models like the Grand Vitara, Toyota HyRyder, and Honda City Hybrid can expect a drop in price.
The top-end Alpha Plus DT Hybrid variant of the Grand Vitara costs Rs 20.09 lakh ex-showroom. This includes 28 percent GST and 15 percent CESS. If the GST is reduced to 12 percent, the ex-showroom price of the car would also be reduced.
The ex-factory cost of the Grand Vitara will be around Rs 11.45 lakh. If you include 12 percent GST and 15 percent CESS, the new ex-showroom price would be Rs 14.54 lakh, a difference of almost Rs 5.5 lakh.
The Toyota Hyryder, which also has a similar price tag to the Grand Vitara, will also see a similar reduction in price. We can expect a price drop of Rs 5-6 lakh easily. The last car in this article is the Honda City Hybrid. The top-end ZX CVT hybrid variant of the City is priced at Rs 20.39 lakh ex-showroom, which is more expensive than the Grand Vitara.
After reducing the 28 percent GST and CESS, the ex-factory price of the City Hybrid is Rs 14.37 lakh. If you add the 12 percent GST and 15 percent CESS, the amount would be around Rs 18.25 lakh. Even then, there is a considerable difference in ex-showroom pricing, which will reflect in the on-road price too.
The post Toyota Innova HyCross Hybrid To get 5.5 lakh Cheaper If Nitin Gadkari’s Proposal Is Accepted: Details first appeared on Cartoq.
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