New Delhi, Sept. 7 -- Mercedes-Benz India has announced significant price reductions across its model range following the government's revision of Goods and Services Tax (GST) on luxury cars. Under the new GST 2.0 framework, luxury vehicles are now taxed at a flat 40 per cent, with the earlier 22 per cent compensation cess being scrapped. Previously, customers faced a combined 50 per cent levy comprising 28 per cent GST and the cess.

The revised taxation has enabled the German automaker to lower prices by as much as Rs.11 lakh, depending on the model. The flagship S-Class 450 4MATIC, for instance, now retails at Rs.1.88 crore compared to its earlier Rs.1.99 crore price tag. The GLS 450d AMG Line has become more affordable by Rs.10 lakh, ...