Intro

Tata Tiago price after GST 2.0 will go down by up to ₹75,000 and Tata Motors will pass on the full benefit to customers from September 22, 2025. This matters because small hatchbacks under 4m with 1.2L petrol engines move from 29% to 18% GST, which means big savings for entry level buyers.

What changed with GST 2.0

Sub-4m petrol cars up to 1.2L move from 28% GST + 1% cess to 18% GST, removing the cess and reducing the overall tax by around 11%. In practice that means 8-12% lower ex-showroom prices depending on variant and OEM pricing strategy.

How much cheaper is the Tiago

Tata Motors says the Tiago will be cheaper by up to ₹75,000, exact reductions will vary by variant and powertrain. Indicative tables from price trackers show 8-9% reduction, highest absolute cut seen on higher spec or NRG/CNG-AMT trims near ₹75k.

New price and effective date

New prices will be effective from September 22, 2025, same as the new GST slabs. Dealers will update variant wise prices on or after this date and Tata is encouraging early bookings as festive season is around the corner.

Specs and buyer takeaways

Tiago continues with 1.2L Revotron petrol making 85 bhp and 113 Nm, and a factory CNG option making 74 bhp and 95 Nm, with 5MT or AMT. Efficiency remains a USP with 19.01 kmpl (petrol) and 26.49 km/kg (CNG) and 4 star Global NCAP adult rating and dual airbags as standard.

Also read: Nissan Magnite Price Slashed by Up to ₹1,00,400 in India After GST Cut

Rivals and context

Other rivals like Hyundai Grand i10 Nios, Maruti Wagon R and Celerio will also see GST reduction, so price competition will intensify in entry hatchback segment. For value seekers the gap between mid and top trims will narrow, so higher features will become more accessible post cut.

Closing note

Now that GST 2.0 has reduced taxes on small petrol cars, the Tiago’s combo of price, safety and features is tough to resist, once variant wise prices go live on September 22. Book and cross check with dealers around launch week to get the full benefit on your preferred trim.