NEW DELHI/MUMBAI: Automakers are divided over the impact of goods and services tax , but expect a spike in demand for compact cars and SUVs over the next few weeks from buyers trying to beat a possible price hike. Several industry executives and experts expect vehicle prices to reflect the change in rates. The current levies range from 25% on small cars to 55% on luxury vehicles. If there are indications of vehicles becoming dearer, you witness a pull in the market,” he said.Honda Cars India expects prices of small cars to go up. “Currently, total levies on luxury cars amount to around 55%.

Source: Economic Times May 23, 2017 20:26 UTC