A new tax change is coming just in time for Diwali, and it will make two-wheelers like bikes and scooters a lot more affordable. The Indian government has decided to lower the GST taxes on Two-Wheelers this Diwali, giving people a special gift this festive season.
Why This Change Helps
Many two-wheelers are currently taxed at a high rate of 28% or more, which makes them expensive for many families. The new plan, called GST 2.0, will drop this tax to 18% for most bikes and scooters with engines up to 350cc.
This means people will pay less when buying a new vehicle, especially the smaller ones that many use every day. The change is announced by Finance Minister Nirmala Sitharaman as a way to help the middle class and small businesses during the festive time.
What This Means for Two-Wheelers
This tax cut will make popular bikes and scooters from companies like Hero, Honda, and Bajaj easier to buy. For example, a bike that costs around 80,000 rupees might now be closer to 70,000 rupees after the tax drop.
The change is expected to start by September 22, just before Diwali, so people can enjoy the savings during the holiday shopping rush. Bigger bikes over 350cc might still face higher taxes, but the focus is on making everyday vehicles more reachable.
How It Affects People
For many, two-wheelers are the main way to get around, especially in small towns and villages. Lower prices could help students get to school, families run errands, or workers travel to their jobs. Bike and scooter makers are happy too, as they expect more people will buy their products. The government hopes this will also create more jobs in the auto industry.
What’s Next
The final decision will be made at a meeting later this month, but the plan is already creating excitement. People are looking forward to finding great deals on two-wheelers as they celebrate Diwali with lights and new rides.
