Mumbai March 4

BMW India is about to follow Skoda's footsteps by reducing the prices of its locally assembled cars - including the 3-series and the 5-series - effective from April 1.

The company will slash prices across the range due to the implications of the Budget, such as fall of peak rate of basic Customs duty from 12.5 per cent to 10 per cent, levy of one per cent as education cess with immediate effect and reduction of Central sales tax (CST) from four per cent to three per cent effective from April 1.

Skoda has announced price cuts of up to Rs 24,000 on the Octavia and Laura model ranges effective from March 1. BMW is awaiting clearance from the management and for all implications to be effective from the aforesaid dates; hence, the price reduction will only be highlighted with effect from April 1, a company spokesperson said.

He added that for March, the company would not pass on the additional education cess to customers.

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