Tata Tiago Final Price After GST Cut - Old vs New Price of Tiago

Published on 29 Sept, 2025, 12:08 PM IST
Updated on 29 Sept, 2025, 12:08 PM IST
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The Tata Tiago has been a consistent performer in Tata Motors’ lineup, offering a stylish design, solid build quality, and multiple powertrain choices at an accessible price point. It is powered by a 1.2-litre Revotron petrol engine and is also available with factory-fitted CNG variants, making it one of the most versatile hatchbacks in the entry-level segment.

Until now, the Tiago—like other small cars under 4 metres with petrol engines up to 1.2 litres—was taxed at 28% GST plus 1% cess (29% total tax). However, under the new GST 2.0 structure effective from September 22, 2025, this has been replaced with a flat 18% GST.

This results in a significant price drop, making the Tiago more affordable across its petrol and CNG range.

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Tata Tiago (Petrol Variants) Final Prices after the GST Cut

The petrol-powered Tiago variants see a significant reduction in ex-showroom prices. Buyers opting for the base XE or the top-spec XZ Plus will benefit from the lower GST structure.

Tiago Variant

Old Price (Ex-showroom)

Final Price (Ex-showroom)

Reduction

Reduction (%)

XZA

₹7,54,990

₹6,90,790

₹64,200

8.50%

XZ Plus

₹7,39,990

₹6,76,990

₹63,000

8.51%

XZ Plus (DT)

₹7,39,990

₹6,76,990

₹63,000

8.51%

XZ

₹6,99,990

₹6,40,390

₹59,600

8.51%

XTA

₹6,89,990

₹6,31,290

₹58,700

8.51%

XT

₹6,34,990

₹5,80,990

₹54,000

8.50%

XM

₹5,79,990

₹5,30,690

₹49,300

8.50%

XE

₹4,99,990

₹4,57,490

₹42,500

8.50%

Tata Tiago (CNG Variants) Final Prices after the GST Cut

The Tata Tiago CNG variants are also cheaper under the revised GST structure. Since CNG variants fall under the same small car bracket (under 4 metres, 1.2-litre engine), they too shift from 29% tax to 18% flat GST.

Tiago Variant

Old Price (Ex-showroom)

Final Price (Ex-showroom)

Reduction

Reduction (%)

XZA CNG

₹8,54,990

₹7,82,190

₹72,800

8.51%

XZ CNG

₹7,99,990

₹7,31,890

₹68,100

8.51%

XTA CNG

₹7,89,990

₹7,22,790

₹67,200

8.51%

XT CNG

₹7,34,990

₹6,72,490

₹62,500

8.50%

XM CNG

₹6,79,990

₹6,22,090

₹57,900

8.51%

XE CNG

₹5,99,990

₹5,48,990

₹51,000

8.50%

Why have the prices been reduced for the Tata Tiago?

The price cut is driven by the government’s tax restructuring on small cars.

  • Old Tax: 28% GST + 1% cess = 29% total
     
  • New Tax: Flat 18% GST

That’s an 11% reduction, directly lowering the ex-showroom prices of all Tiago petrol and CNG trims.

Category

Old GST

Old Cess

Old Total Tax

New GST

New Total Tax

Change in Tax

Small cars (under 4m, ≤1,200cc petrol/CNG)

28%

1%

29%

18%

18%

11% lower than before

 

Frequently Asked Questions

Here are a few commonly asked questions and their answers about the Tata Tiago price cut after the GST reduction.

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Which Tata Tiago variants are cheaper now?

All petrol and CNG variants of the Tiago are cheaper under the revised GST.

How big is the price drop?

Depending on the variant, you will see a notable reduction, as the effective tax has dropped from 29% to 18%. The price drop stands at 8.50% to 8.51%, depending on the variant.

Will the on-road price also come down?

Yes. Since the on-road price is calculated based on the ex-showroom price, Tiago buyers will enjoy lower costs overall.

Does the Tiago still get a diesel option?

No, the Tiago is available only with a 1.2-litre petrol and CNG powertrain.

Could Tata adjust prices further?

Yes, while GST reductions directly impact ex-showroom prices, manufacturers may make minor revisions based on production costs and demand.

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Tata Tiago Final Price After GST Cut - Old vs New Price of Tata Tiago