Date:04/01/2007 URL: http://www.thehindubusinessline.com/2007/01/04/stories/2007010401451900.htm

Back Hyundai cars to cost less in Tamil Nadu

Our Bureau

Chennai , Jan. 3

Hyundai Motor India Ltd has announced that it would pass on the benefit of savings from VAT-driven tariff cuts to its customers.

Implementation of the VAT regime, which has come into effect in the State on Monday, results in a flat levy of 12.5 per cent on all automobiles, replacing the multiple tax regime involving 12.6 per cent local sales tax and 1 per cent turnover tax in addition to the 1 per cent central sales tax. While VAT replaces the local ST and turnover tax, the central sales tax will continue to be applicable as before.

Hyundai has consequently slashed prices on all its models sold in Chennai. Santro XL will now cost Rs 1,816 less, at Rs 3,45,790 instead of the earlier Rs 3,47,606; the Getz GLS will cost Rs 2,828 less at Rs 4,61,544 against the earlier Rs 4,64,372; Accent GLE Rs 4,040 less at Rs 5,29,530; Verna CRDi Rs 8,068 less at Rs 9,80,719 and Sonata MT Rs 9,233 cheaper at Rs 12,79,947. (All prices are ex-showroom prices in Chennai city; prices can vary according to the different regions within TN).