🇮🇳 Electric Vehicle Calculator

EV Tax / GST Savings Calculator

India has no direct federal EV tax credit - the real incentive is a much lower GST rate on EVs versus petrol/diesel cars. See how much that gap is worth, plus any state incentives you add.

Vehicle & Comparison

Same base vehicle price, compared under EV vs ICE GST rates.

Illustrative effective rates - the compensation cess varies by exact size/engine/ground clearance.

Many states offer extra road-tax/registration waivers or subsidies - check your state's current EV policy and enter an estimate.

Estimated Total Savings vs ICE

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GST difference plus any state incentive entered.

EV GST (5%)

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ICE GST + Cess

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EV On-Road (est.)

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ICE On-Road (est.)

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GST rates and cess brackets can change - confirm current rates before budgeting. FAME-II purchase subsidies have largely wound down for private cars; don't assume a cash subsidy applies without checking the scheme's current status.

How the estimate works.

EV GST = Base Price × 5% ICE GST+Cess = Base Price × Segment Rate GST Savings = ICE GST − EV GST Total Savings = GST Savings + State Incentive

Unlike the US credit, this saving is built into the on-road price at the point of sale rather than claimed on a tax return - you don't need to file anything extra to get the lower EV GST rate.

Frequently asked questions.

Does India have a federal EV tax credit like the US?

No - there's no direct equivalent of the US $7,500 federal credit. India's main EV incentive is structural: electric vehicles are taxed at a much lower GST rate (5%) than petrol/diesel cars (28% GST plus a cess that can push the effective rate to 43-50%). That tax gap is baked into the sticker price rather than claimed later on a tax return.

Is the FAME-II subsidy still available?

FAME-II (Faster Adoption and Manufacturing of Electric Vehicles) has largely wound down its direct purchase-subsidy support for private electric cars - it now mainly supports buses and public/commercial transport. Don't assume a FAME-style cash subsidy applies to a private car purchase; check the scheme's current status before counting on it.

What state-level incentives exist?

Many states offer their own EV incentives on top of the GST difference - common forms include road-tax waivers, registration-fee waivers, and in some states a direct purchase subsidy. These vary significantly by state and change often, so check your specific state's EV policy rather than assuming a fixed figure.

Why is the GST cess on ICE cars different across models?

The compensation cess on top of the base 28% GST scales with the vehicle's size, engine capacity, and ground clearance - small cars attract the lowest cess (around 1%), while large SUVs and luxury cars attract the highest (up to 22%). This is why the effective tax rate on a "regular" ICE car versus a big SUV can differ by 15-20 percentage points.