The Goods and Services Tax (GST) Council has approved a major change in tax slabs that will make entry-level two-wheelers cheaper while imposing a higher levy on bigger vehicles. The new rates will come into effect from September 22, the first day of Navratri. Two-wheelers with engine capacity below 350cc will attract 18 per cent GST, down from 28 per cent. This covers almost 98 per cent of the Indian motorcycle market. Motorcycles above 350cc, including models in the 450cc and 650cc categories, will face a 40 per cent tax described as a “Sin tax.”
New GST rates for bikes:
| Bike Model | Engine Capacity | Current Price (28% GST + 3% Cess) | Expected Price (40% GST) | Expected Price Hike |
| Bajaj Pulsar NS400Z | 373cc | Rs 1.92 lakh | Rs 2.10 lakh | +Rs 18,000 |
| Bajaj Dominar 400 | 373cc | Rs 2.38 lakh | Rs 2.60 lakh | +Rs 22,000 |
| Triumph Speed T4 | 398cc | Rs 1.99 lakh | Rs 2.18 lakh | +Rs 19,000 |
| Triumph Speed 400 | 398cc | Rs 2.50 lakh | Rs 2.73 lakh | +Rs 23,000 |
| Triumph Thruxton 400 | 398cc | Rs 2.74 lakh | Rs 3.00 lakh | +Rs 26,000 |
| Triumph Scrambler 400X | 398cc | Rs 2.67 lakh | Rs 2.92 lakh | +Rs 25,000 |
| Triumph Scrambler 400XC | 398cc | Rs 2.94 lakh | Rs 3.22 lakh | +Rs 28,000 |
| Harley | 440 cc | R 2.39 lakh | Rs 2.61 lakh | +Rs 22,000 |
| KTM RC 390 | 373cc | Rs 3.22 lakh | Rs 3.52 lakh | +Rs 30,000 |
| KTM 390 Duke | 399cc | Rs 2.97 lakh | Rs 3.25 lakh | +Rs 28,000 |
| KTM 390 Adventure X | 399cc | Rs 3.03 lakh | Rs 3.31 lakh | +Rs 28,000 |
| KTM 390 Adventure | 399cc | Rs 3.67 lakh | Rs 4.01 lakh | +Rs 34,000 |
| KTM 390 Enduro R | 399cc | Rs 3.39 lakh | Rs 3.71 lakh | +Rs 32,000 |
| Royal Enfield Scram 440 | 440cc | Rs 2.08 lakh | Rs 2.28 lakh | +Rs 20,000 |
| Royal Enfield Himalayan 450 | 452cc | Rs 2.85 lakh | Rs 3.12 lakh | +Rs 27,000 |
| Royal Enfield Guerrilla 450 | 452cc | Rs 2.39 lakh | Rs 2.61 lakh | +Rs 22,000 |
| Royal Enfield Interceptor 650 | 648cc | Rs 3.09 lakh | Rs 3.38 lakh | +Rs 29,000 |
| Royal Enfield Continental GT 650 | 648cc | Rs 3.25 lakh | Rs 3.55 lakh | +Rs 30,000 |
| Royal Enfield Bear 650 | 648cc | Rs 3.46 lakh | Rs 3.78 lakh | +Rs 32,000 |
| Royal Enfield Super Meteor 650 | 648cc | Rs 3.71 lakh | Rs 4.06 lakh | +Rs 35,000 |
| Royal Enfield Shotgun 650 | 648cc | Rs 3.67 lakh | Rs 4.01 lakh | +Rs 34,000 |
| Aprilia RS 457 | 457cc | Rs 4.23 lakh | Rs 4.63 lakh | +Rs 40,000 |
| Aprilia Tuono 457 | 457cc | Rs 3.95 lakh | Rs 4.32 lakh | +Rs 37,000 |
| Honda NX500 | 471cc | Rs 5.90 lakh | Rs 6.45 lakh | +Rs 55,000 |
New GST rates for below 350 CC bikes
| Bike Model | Engine Capacity | Current Price (28% GST) | Expected Price (18% GST) | Expected Price Cut |
| Hero Splendor Plus | 97.2cc | ₹79,096 | ₹72,516 | ₹6,580 |
| Honda Shine 125 | 123.94cc | ₹84,493 | ₹77,457 | ₹7,036 |
| Bajaj Pulsar 150 | 149.5cc | ₹1,10,419 | ₹1,01,847 | ₹8,572 |
| TVS Apache RTR 160 | 159.7cc | ₹1,34,320 | ₹1,23,822 | ₹10,498 |
| Yamaha FZ-S Fi | 149cc | ₹1,35,190 | ₹1,24,743 | ₹10,447 |
| Honda CB Shine SP | 124.7cc | ₹1,64,250 | ₹1,51,389 | ₹12,861 |
| Bajaj Platina 110 | 115.45cc | ₹71,558 | ₹66,007 | ₹5,551 |
| TVS Raider 125 | 124.8cc | ₹1,04,000 | ₹96,000 | ₹8,000 |
| Hero HF Deluxe | 97.2cc | ₹73,550 | ₹67,867 | ₹5,683 |
| Yamaha Saluto RX | 110cc | ₹70,000 | ₹64,583 | ₹5,417 |
Popular Scooters Under 350cc (2025 GST Update)
| Scooter Model | Engine Capacity | Current Price (28% GST) | Expected Price (18% GST) | Expected Price Cut |
| Honda Activa 125 | 124cc | ₹81,000 | ₹74,250 | ₹6,750 |
| TVS Jupiter 125 | 124cc | ₹77,000 | ₹70,667 | ₹6,333 |
| Suzuki Access 125 | 124cc | ₹79,500 | ₹72,889 | ₹6,611 |
| Hero Maestro Edge 125 | 124cc | ₹76,500 | ₹70,111 | ₹6,389 |
| TVS NTORQ 125 | 124.8cc | ₹85,000 | ₹77,778 | ₹7,222 |
| Honda Dio 125 | 124cc | ₹72,000 | ₹65,778 | ₹6,222 |
| Suzuki Burgman Street 125 | 124cc | ₹82,000 | ₹75,556 | ₹6,444 |
| Yamaha Fascino 125 | 125cc | ₹76,000 | ₹70,667 | ₹5,333 |
| Hero Destini 125 | 124cc | ₹74,500 | ₹69,111 | ₹5,389 |
| Aprilia SR 125 | 124cc | ₹95,000 | ₹88,148 | ₹6,852 |
All prices ex-showroom
New GST Rates for cars
Petrol, LPG and CNG cars under 1,200 cc and not more than 4,000 mm in length and diesel cars up to 1,500 cc and 4,000 mm in length will now be taxed at 18 per cent instead of 28 per cent. Automobiles with higher engine capacity and length, along with racing cars, will fall under the 40 per cent bracket.
EVs remain unchanged
Electric vehicles will continue to be taxed at 5 per cent. Industry leaders said the continuation of this rate will support India’s clean mobility goals.
The GST Council has moved from a four-rate structure of 5, 12, 18 and 28 per cent to a simpler framework with two main slabs — 5 per cent and 18 per cent — along with a special 40 per cent slab for select categories.(Disclaimer: All prices are based on official websites and industry sources. Please check with your nearest dealer for the exact ex-showroom price.)