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- Jun 10, 2026
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As the central and state governments tackle the decrease in tax flow due to the reduced taxes under GST, they have turned their attention towards revising various cesses to compensate. Of the various non-essential, luxury goods on sale in India, one of the more easier targets for increased taxes is cars.
There is a proposal that cars which do not adhere to small car norms (smaller than four metres, powered by petrol engines <1200cc and diesel engines <1500cc) should be taxed at a higher rate. Especially luxury cars, which are defined as cars longer than four metres and powered by engines (regardless of the fuel used) larger than 1500cc.
Audi's range of entry-level luxury cars fit this description perfectly. The Audi A3 (1.4-litre petrol/2.0-litre diesel, 4456mm long), Audi Q3 (1.4-litre petrol/2.0-litre diesel, 4388mm long) and Audi A4 (1.4-litre petrol/2.0-litre diesel, 4726mm long) are in line to become quite expensive once the proposed cesses are implemented. Audi is now offering discounts and perks to lure customers looking for good deals.

Offers under the 'Unbeatable' scheme are applicable to the Audi A3, Q3 and A4 only and are as follows:
- EMIs now start as low as Rs 24,999
- Rate of interest of just 7.99%
- 1st year insurance complimentary
- 3 years/ 50,000 Km Service Plan complimentary
- 2+2 years Extended warranty complimentary
- Exchange/ Trade-in Bonus of INR 1,00,000

Other manufacturers are expected to start their own campaigns to cash in on an increased demand for luxury cars in the run up to the proposed increase in cesses. Stay tuned to ZigWheels for more news on how car prices will be affected because of the new tax regulations.
Also Read: Buy SUV/Luxury Cars Before They Become Expensive Again!
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