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GST effect on bikes: Discounts on Bajaj V15, Discover, Pulsar upto INR 4500; Dominar 400 price unchanged

GST effect on bikes: Discounts on Bajaj V15, Discover, Pulsar upto INR 4500; Dominar 400 price unchanged
The GST bill, passed by the Government of India, offers lower tax slabs on bikes below 350cc while motorcycles above 350 cc attract slightly higher taxes. Ahead of the implementation of GST in India on 1st July 2017, Bajaj Auto is offering discounts of up to INR 4500 on its entire range of motorcycles except the Dominar 400. The discounts and price cut depend upon the models and the State in which the motorcycle is purchased. That said, Bajaj Auto has not revealed the amount of discounts on each motorcycle. However, prices of the Bajaj Dominar 400 power cruiser remain untouched. Furthermore, prices of the Dominar will be increased from 1st July 2017 as GST tax rates are higher on bikes with engine capacity more than 350 cc.

The new tax slabs in GST attract higher taxes on bike above 350cc, which will result in a price hike on Bajaj Dominar 400 as the bike is powered by a 373.3 cc single-cylinder engine. While the new GST tax rates will come into effect from 1st July 2017, Bajaj Auto has decided to pass on post GST price cuts to its customers with immediate effect from 14th June 2017 as a special gesture. Bajaj Auto is the only two-wheeler manufacturer in the country to pass on the GST price cut advantage to its customers before the implementation of GST in India. 

When contacted a few dealerships in Mumbai, they did mentioned about the GST benefits but did not provide the exact discounts available for the model range. However, couple of dealerships did reveal that they are offering additional discounts for older lot of motorcycles (May 2017), in order to nullify the losses that they will incur post GST implementation. These discounts are in the range of INR 500 to INR 1200 for bikes like Platina/CT 100, V15/Discover and the Pulsar range of motorcycles, however, prices for the Bajaj Dominar 400 remain unchanged.

Speaking about the price cut, Eric Vas, President, Motorcycle Business, Bajaj Auto said “As a responsible corporate, Bajaj Auto is happy to pass on the price saving accruing out of GST to its customers. With the GST implementation just around the corner we felt that it would be appropriate to pass on this significant savings to customers. Bajaj Auto is proud to be the first and only motorcycle company in India, to offer post GST reduced prices to customers even before the implementation date. Customers no longer need to wait for 1st July to buy their desired Bajaj Motorcycle.”

While the GST benefits vary across motorcycle models and differ for each state, prospective customers can get in touch with authorized Bajaj Auto dealerships across the country to avail the benefits by making bookings between 14th June and 30th June 2017. It is to be noted that Bajaj Auto was also the first bike maker in India to upgrade its entire range of motorcycles with BS-IV standards before the deadline of 1st April, 2017. By passing on the GST benefits to its customers beforehand, Bajaj Auto has yet again maintained its position as the only bike maker to stay ahead of the competition to address industry changes.

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