India, Oct. 9 -- The Indian automobile market received a pleasant surprise with the rollout of GST 2.0 in September 2025. The revised Goods and Services Tax framework introduced significant changes in vehicle taxation, simplifying the slabs and removing certain cesses that previously inflated car prices. Under this new structure, small cars - particularly hatchbacks under 4 metres in length and with engines up to 1,200 cc for petrol and 1,500 cc for diesel - now fall under a lower 18% GST slab. Earlier, these models attracted a combined tax rate of around 29-31% (including compensation cess). This reduction has led to a noticeable drop in ex-showroom prices across several popular hatchbacks in India. Here are five hatchbacks that became c...