Union Budget 2016-17 has levied ‘Infrastructure Cess’ of 1 percent on small petrol, CNG and LPG cars while small diesel cars are entitled to 2.5 percent infra cess.
Honda has announced a price hike across its model range due to the additional taxes levied by the Union Budget 2016-17. The increment ranges between Rs. 4000/- on the Brio to Rs. 79,000/- on the CR-V and the hike is effective since 1st March. The Amaze facelift was launched on 3rd March and hence its prices already includes the additional levies.
The Honda Brio is the least affected car in the entire lineup due to the lowest price and it is only one powered by a petrol engine which attracts fewer taxes. Other automakers such as Mercedes-Benz, Maruti Suzuki, Mahindra, Hyundai, etc. have announced a similar price hike due to the additional levy.
The Union Budget 2016-17 levies 1 percent infra cess on small petrol cars shorter than 4-metres and with an engine capacity of less than 1200cc and 2.5 percent infra cess on small diesel cars not longer than 4 metres with an engine capacity of less than 1500cc.
The Finance Ministry has also levied 1 percent additional tax on luxury cars with a price tag of more than Rs. 10 lakhs while high capacity vehicles are charged with an additional tax of 4 percent. The upcoming BR-V will be extensively affected due to the high taxes which will be levied on it.
Honda Car Prices Hiked
– Honda has announced a price hike due to the additional taxes levied by the Union Budget 2016-17
– The hike ranges between Rs. 4000/- to Rs. 79,000/-
– The Budget has levied 1% and 2.5% infra cess on small petrol and diesel cars respectively