Impact on car prices, Cut in Excise Duty – Interim budget 2014 -15

Cars to be cheaper as Finance Minister proposes to reduce excise duty on automobiles.

• Excise duty on small cars/Compact sedans, motorcycles/Scooters reduced from 12% to 8%.
• On medium cars, it has been cut by 4 %, from the existing 24 %.
• Excise duty on SUVs reduced to 24%.
• large cars like Merc, Audi, BMW to 20%.

All the Automobiles companies welcome’s the cut in excise duty on vehicles. Tata motors will announced new prices of cars on tuesday (18-02-2014).