Ex-showroom price is the manufacturer's listed selling price in your city — what the car costs before you can legally drive it on public roads. On-road price adds the legally mandatory extras: RTO registration fee, road tax (the big one — 6% to 22% of ex-showroom depending on state), first-year insurance, and a handful of smaller levies. Expect on-road to sit roughly 10% to 25% above ex-showroom, with higher-tax states like Karnataka and Maharashtra at the steeper end.
| State | Road tax (% of ex-showroom) |
|---|---|
| Delhi | 4% – 12.5% (fuel + price slab) |
| Maharashtra | 11% – 13% |
| Karnataka | 13% – 18% |
| Tamil Nadu | 10% – 15% |
| Kerala | 9% – 21% (slab by ex-showroom) |
| Telangana / AP | 12% – 14% |
| Haryana | 5% – 10% |
| Uttar Pradesh | 7% – 10% |
| Gujarat | 6% |
| West Bengal | 5.5% – 9.9% |
Ex-showroom price: what it includes
Ex-showroom is the price at which the dealer is willing to hand over the car before any registration or state-level paperwork. It already includes:
- The manufacturer's factory-gate cost
- Dealer margin
- GST (28% on most passenger cars plus a cess of 1% / 3% / 15% / 17% / 20% / 22% depending on engine and body type)
- Transportation to the dealership
What it does not include: registration, road tax, insurance, number plates, handling fees, or accessories. You cannot legally drive an ex-showroom-only car out of the showroom — you need the RTO paperwork first.
On-road price: what gets added
The gap between ex-showroom and on-road is, in order of size:
- Road tax (by far the biggest line): 6% to 22% of ex-showroom, set by your state. Typically a one-time charge, valid for 15 years. Higher for more expensive cars and for diesel/large-engine cars in most states.
- RTO registration fee: ₹600 for petrol, ₹1,500-5,000 for diesel depending on engine size, plus ₹400-600 smart-card fee. Token amount.
- First-year insurance: Legally compulsory. Comprehensive runs 3%-4% of ex-showroom; third-party-only (cheaper but far less useful) is an IRDAI-set flat amount by engine CC. Third-party + own-damage bundle is now mandatory as a 3-year + 1-year combination for new cars.
- Fastag, HSRP plates, temporary registration, handling charges: Collectively ₹2,000-8,000.
- Extended warranty, accessories, protection plans: Optional. Dealers often pre-bundle these; you can usually decline.
Add all of it, and on-road typically lands 10%-25% above ex-showroom. Delhi sits near the low end; Karnataka / Kerala / Telangana at the high end.
Worked example: ₹10,00,000 ex-showroom petrol car
Numbers are indicative — your dealer quote is the source of truth.
- Ex-showroom: ₹10,00,000
- Road tax (say 10% in your state): ₹1,00,000
- RTO registration + smart card: ₹1,000
- First-year insurance (comprehensive): ₹35,000
- Fastag + HSRP + handling: ₹5,000
- On-road: ₹11,41,000
Same car in a higher-tax state (say 15% road tax): on-road jumps to ₹11,91,000 — a ₹50,000 difference driven entirely by which RTO you register with.
This matters for cost-of-ownership calculations: use ex-showroom when comparing across buyers nationwide (apples to apples), but use on-road when budgeting your own purchase.
Common tricks at the dealership
- "Mandatory" accessories: Floor mats, mud flaps, seat covers, ceramic coating — almost none are legally required. Decline if you don't want them; ask for the on-road price without.
- Logistics / handling / pre-delivery inspection charges: These are genuine but negotiable. Some dealers add ₹15,000-30,000 as a handling fee; you can push back.
- Inflated insurance: Dealer-arranged insurance is often 20-40% more expensive than a direct online quote from the same insurer. Get your own quote before the delivery date and ask the dealer to match or let you bring your own policy.
- Extended warranty at sticker price: Worth considering for some brands but negotiable; typical fair price is 40-60% of the first-offered number.
Why EV on-road prices are different
Many states exempt EVs from road tax and/or registration fees entirely (Maharashtra, Delhi, Karnataka, Kerala, Gujarat, Tamil Nadu all have some form of waiver or rebate as of 2026). That can narrow the on-road-to-ex-showroom gap for EVs from 15%-20% down to 4%-7%, materially changing the EV vs petrol/diesel break-even math.
State EV policies change frequently — check your transport department's latest notification before committing to a city of registration.
People also ask
Is the ex-showroom price the same everywhere in India?
No — manufacturers list state-specific ex-showroom prices that differ slightly due to logistics and local cess. The gap is usually under 2-3%, but it exists.
Can I negotiate on the ex-showroom price?
Rarely on the listed price itself, but dealers often offer discounts, bonus accessories, or exchange-bonuses that effectively reduce your out-of-pocket. End-of-month, end-of-quarter, and end-of-year are the best negotiation windows.
Does on-road price include Fastag?
Usually yes — dealers provide a Fastag as part of the delivery package, costing ₹400-500. If it's itemised separately on your quote, it should be in the ₹500 range, not more.
Which is cheaper to register — Delhi or Noida?
As of 2026, Delhi road tax runs 4-12.5% depending on fuel and price slab; Uttar Pradesh (Noida) runs around 7-10%. Delhi is often cheaper for lower-priced cars but can be costlier on premium vehicles. Registering in a different state to save tax is legal only if you actually reside there — otherwise you risk a re-registration demand.
Why is the on-road price higher for diesel cars?
Two reasons: RTO registration fees are higher for diesel (₹1,500-5,000 vs ₹600 for petrol), and many states charge a higher road-tax percentage on diesel vehicles as a pollution-cost lever.