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How Car Rates Affected by Budget 2016?

Budget 2016 has embarked on infra and agriculture  and to provide money for all the social projects it has already levied a number of taxes which has led to increase in the cost of the cars.

The government has decided to impose 2.5 per cent cess on diesel vehicles of length not exceeding 4 meter and engine capacity not exceeding 1,500cc, while higher engine capacity and SUVs and bigger sedans were slapped with a cess of 4 per cent on the value of the car.

These are over an above a cess of 1 per cent on petrol/ LPG/CNG driven vehicles of length not exceeding 4 meter and engine capacity not exceeding 1,200cc.

It is worthwhile to mention that Tata Motors increased price to the range of Rs 2,000 to Rs 35,000 on vehicles priced between Rs 2.04 lakh and Rs Rs 15.79 lakh (ex-showroom Delhi).

On Monday, Hyundai Motor India had said that it plans to hike vehicle prices ranging from Rs 3,000 on entry-level small car Eon to Rs 80,000 on SUV SantaFe, which are priced between from Rs 3.20 lakh and Rs 30.79 lakh.

Honda Cars India also plans to raise prices in a range of Rs 4,000 to Rs 80,000. The company sells six models from entry-level Brio to premium SUV CR—V, priced between Rs 4.27 lakh and Rs 25.23 lakh (all prices ex-showroom Delhi).

So, if you are still struck with the idea of buying car; go and negotiate with the dealer tomorrow itself as they may give you at old rates as month end targets are always on their mind. You have to decide the car and be ready with cash on the table and they may give you an excellent discount.

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