'Pain has a brand name': CA says as ₹31 lakh tax on Tesla cars in India sends Indians into panic
'Pain has a brand name': CA says as ₹31 lakh tax on Tesla cars in India sends Indians into panic
He also mentioned that Indians have been paying absurd taxes all along and asked people to check their car invoices once again.
Mehak Agarwal
- Jul 17, 2025,
- Updated Jul 17, 2025 9:46 AM IST
A chartered accountant recently talked about the humongous taxes on Tesla cars in India. He said that the pain of paying higher taxes now has a brand name and a virality quotient to it.
He also mentioned that Indians have been paying absurd taxes all along and asked people to check their car invoices once again. "For those shocked at Tesla's ₹30L base price vs ₹31L taxes... Just check your own car's invoice. You'll realise: we've been paying these absurd taxes all along."
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He further explained how he is forced to pay more than 50 per cent in taxes on a non-luxury car.
Read full tweet here
Tesla India prices compared to US, China, Germany
Tesla debuted its first-ever showroom in India in Mumbai, which featured its two Model Y variants. Tesla's Model Y Rear-Wheel drive (standard) is priced at ₹59.89 lakh, whereas its Model Y Long-Range Rear-Wheel drive is priced at ₹67.89 lakh.
In the US, the starting price of a Tesla is from $44,990 (over ₹38 lakh). Tesla is priced at $36,700 (₹31.5 lakh) in China whereas in Germany, the car is priced at $53,700 (₹46 lakh).
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Netizen reactions on Tesla's India launch
Soon after Tesla's India launch, netizens were left with a sour taste in their mouths due to the exorbitant pricing and heavy taxes. "Tesla is selling the car at almost same price in India, but it is Tax in India which is making it expensive here," a user wrote.
"We are a poor nation. Here everything is a luxury. Air conditioners are taxed at 28%!" a netizen commented. "That's a hefty tax burden! Does any country tax its citizens like this?" an angry user asked.
Why are Tesla cars so expensive in India?
The Tesla comes with an exorbitant price in India due to 70 per cent import duty, which Elon Musk at one point called among the highest in the world. Moreover, India wants to give concessions to foreign automakers who commit to setting up a manufacturing plant locally.
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Tesla already has a gigafactory in China, something that doesn't work in favour of its India expansion plans.
In April this year, Tesla's Chief Financial officer Vaibhav Taneja said that the EV giant would take a careful approach to India considering its 70 per cent tariff on EV imports and around 30 per cent luxury tax.
Puneet Gupta, Director for the Indian automotive market at S&P Global Mobility, told CNBC that Tesla is more focused on "testing the waters" instead of generalising sales in the country.
A chartered accountant recently talked about the humongous taxes on Tesla cars in India. He said that the pain of paying higher taxes now has a brand name and a virality quotient to it.
He also mentioned that Indians have been paying absurd taxes all along and asked people to check their car invoices once again. "For those shocked at Tesla's ₹30L base price vs ₹31L taxes... Just check your own car's invoice. You'll realise: we've been paying these absurd taxes all along."
Advertisement
He further explained how he is forced to pay more than 50 per cent in taxes on a non-luxury car.
Read full tweet here
Tesla India prices compared to US, China, Germany
Tesla debuted its first-ever showroom in India in Mumbai, which featured its two Model Y variants. Tesla's Model Y Rear-Wheel drive (standard) is priced at ₹59.89 lakh, whereas its Model Y Long-Range Rear-Wheel drive is priced at ₹67.89 lakh.
In the US, the starting price of a Tesla is from $44,990 (over ₹38 lakh). Tesla is priced at $36,700 (₹31.5 lakh) in China whereas in Germany, the car is priced at $53,700 (₹46 lakh).
Advertisement
Netizen reactions on Tesla's India launch
Soon after Tesla's India launch, netizens were left with a sour taste in their mouths due to the exorbitant pricing and heavy taxes. "Tesla is selling the car at almost same price in India, but it is Tax in India which is making it expensive here," a user wrote.
"We are a poor nation. Here everything is a luxury. Air conditioners are taxed at 28%!" a netizen commented. "That's a hefty tax burden! Does any country tax its citizens like this?" an angry user asked.
Why are Tesla cars so expensive in India?
The Tesla comes with an exorbitant price in India due to 70 per cent import duty, which Elon Musk at one point called among the highest in the world. Moreover, India wants to give concessions to foreign automakers who commit to setting up a manufacturing plant locally.
Advertisement
Tesla already has a gigafactory in China, something that doesn't work in favour of its India expansion plans.
In April this year, Tesla's Chief Financial officer Vaibhav Taneja said that the EV giant would take a careful approach to India considering its 70 per cent tariff on EV imports and around 30 per cent luxury tax.
Puneet Gupta, Director for the Indian automotive market at S&P Global Mobility, told CNBC that Tesla is more focused on "testing the waters" instead of generalising sales in the country.
Read more!