Under the new GST rates, luxury cars are now taxed at a flat 40 per cent, removing the compensation cess on vehicles, making the Mercedes-Benz range more accessible.
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Check OffersMercedes-Benz cars are now more accessible under the recently revised GST slab. The automaker has announced a price cut across its model range by up to ₹10 lakh, depending on the model. Under the new GST rates, luxury cars are now taxed at a flat 40 per cent, removing the compensation cess on vehicles. Previously, luxury cars were taxed at 50 per cent (28 per cent GST + 22 per cent compensation cess).
GST 2.0: Mercedes-Benz Cars Price Reduction
The Mercedes-Benz S-Class 450 4MATIC is now priced at ₹1.88 crore, a reduction of ₹11 lakh over the older price of ₹1.99 crore. The GLS 450d AMG Line is ₹10 lakh cheaper, retailing at ₹1.34 crore, as opposed to the older ₹1.44 crore. The GLE 450 4MATIC now retails at ₹1.07 crore, down from the previous price of ₹1.15 crore. The new-generation E-Class LWB recently celebrated its first anniversary in India, and received a price cut of ₹6 lakh, retailing at ₹91 lakh for the E 450 trim.
Also Read : Toyota cars prices slashed under new GST rates, Fortuner cheaper by ₹3.49 lakh
| Mercedes-Benz Cars | Old Price | New Price | Difference |
|---|---|---|---|
| Mercedes-Benz A 200d | ₹48.55 lakh | ₹45.95 lakh | ₹2.6 lakh |
| Mercedes-Benz GLA 220d 4MATIC AMG Line | ₹56.50 lakh | ₹52.70 lakh | ₹3.8 lakh |
| Mercedes-Benz C 300 AMG Line | ₹68 lakh | ₹64.30 lakh | ₹3.7 lakh |
| Mercedes-Benz GLC 300 4MATIC | ₹79.25 lakh | ₹73.95 lakh | ₹5.3 lakh |
| Mercedes-Benz E-Class LWB 450 4MATIC | ₹97 lakh | ₹91 lakh | ₹6 lakh |
| Mercedes-Benz S-Class 450 4MATIC | ₹1.99 crore | ₹1.88 crore | ₹11 lakh |
| Mercedes-Benz GLS 450d AMG Line | ₹1.44 crore | ₹1.34 crore | ₹10 lakh |
Other models like the Mercedes-Benz C 300 AMG Line is now priced at ₹64.30 lakh, making it cheaper by ₹3.7 lakh. Entry models like the A 200d now retails at ₹45.95, more affordable by ₹2.6 lakh; whereas the GLA 220d 4MATIC AMG Line is priced at ₹52.70 lakh, a price cut of ₹3.8 lakh. Lastly, the GLC 300 4MATIC is ₹5.3 lakh cheaper, retailing at ₹73.95 lakh. All prices are ex-showroom, India.
Prices for the luxury electric cars remain unchanged as the new GST regime still lists the same at five per cent. The GST reduction makes luxury cars more accessible.
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First Published Date: 06 Sept 2025, 19:09 pm IST
