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Home Cars

‘TAX-LA’ in India: Internet Reacts to Tesla Model Y’s ₹67 Lakh Price Tag

by Thomas Babychan
July 17, 2025
in Cars, Memes, News
Reading Time: 4 mins read
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Tesla India

Image : timesofindia.indiatimes.com

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Tesla’s much-awaited entry into the Indian car market has finally taken place, but not without stirring up a storm online. On July 15, Tesla officially opened its first showroom in India, located in Mumbai’s Bandra Kurla Complex (BKC). The showroom features the Model Y, which is the first car from the electric vehicle giant to be introduced to Indian customers. However, the pricing of the Model Y, as listed on Tesla’s Indian website, has led to strong reactions, especially on social media.

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As per the official website, Tesla Model Y’s rear-wheel-drive variant is priced at Rs 59.89 lakh, while the all-wheel-drive long-range variant comes in at Rs 67.89 lakh. The high price tag left many Indian consumers surprised, especially when compared to the model’s price in the United States, where it sells for around $37,490, or roughly Rs 32 lakh. The near doubling of the price in India triggered an avalanche of memes and sarcastic commentary across platforms like X (formerly Twitter), Instagram, and Facebook.

Scene after Elon Musk launched Tesla in India, Mumbai pic.twitter.com/6tKopUIpWj

— Yolo247 (@Yolo247Official) July 16, 2025


One of the main concerns raised by users was the enormous tax burden included in the Indian pricing. Many pointed out that nearly Rs 28 to 29 lakh from the car’s cost would go directly to the Indian government through various taxes, such as import duties, GST, and luxury tax. Tesla’s Chief Financial Officer, Vaibhav Taneja, confirmed that the pricing structure includes a 70% import tariff on electric vehicles and an additional 30% luxury tax.

If you buy a Tesla Model Y in India, you’re basically paying ₹29 lakh ($35,000) in taxes to the government to drive your car on roads like these. ? pic.twitter.com/FzIHZlQn9P

— sid (@immasiddx) July 16, 2025


The internet was quick to react. One user posted, “Tesla Model Y to cost Rs 67.89 lakh in India, double its $37,490 price in the US. Me with Rs 420 in my bank account.” Another person shared a meme calling it “TAX-LA” instead of Tesla, underlining the frustration about the high tax share. Yet another commented, “EVs are supposed to shock with speed, not price,” summing up the general sentiment in a single line.

Tesla in India? pic.twitter.com/N8TH26R5Xy

— Yash Tiwari (@DrYashTiwari) July 15, 2025


Others shared that the Tesla Model Y is being sold for Rs 61 lakh in India, out of which Rs 29 lakh goes directly to the government. Several netizens described this as nothing short of tax extortion. A user sarcastically thanked the government for their contribution to India’s “growth story,” accompanied by a breakdown showing that nearly half the cost of the vehicle is tax.

Tesla offer in India: BUY 2 GET ONLY 1 pic.twitter.com/7cBJLRIZjE

— Jawaharlal Nehru (Satire) (@The_Nehru) July 16, 2025


The memes were relentless. Some showed images of empty wallets, others posted photos of auto-rickshaws with Tesla logos stuck on them. A few even created fictional dialogues between Indian buyers and Tesla salespeople, making fun of how unaffordable the cars are for the average Indian. It was not just individuals venting online; some influencers and public figures also joined the conversation. The comment section of Tesla’s official pages was filled with humor, sarcasm, and anger.

Price of Tesla in countries with 0 Manufacturing Plants-

UK- 32Lacs
Brazil- 28 Lacs
Australia- 35 Lacs

Tax Burden in India is REAL. pic.twitter.com/MLOZWRcv61

— Arpit Sharma (@iArpitSpeaks) July 17, 2025


Despite the heavy online backlash, Tesla’s launch remains a major milestone. The brand’s entry into India had been delayed for years, largely due to government policy around import duties. Elon Musk had previously expressed interest in entering the Indian market but had also raised concerns over the country’s high tariffs. While there was some hope that local assembly or manufacturing could reduce costs, the current launch involves only imported units, leading to the steep pricing.

Tesla Model Y in India is ₹61 lakh out of which ₹29 lakh is tax making it double the US price

Nimala tai : pic.twitter.com/P28ABsBy3O

— SwatKat? (@swatic12) July 15, 2025


The showroom opening was attended by several dignitaries including Maharashtra’s Deputy Chief Minister Devendra Fadnavis, who expressed hope that Tesla would one day begin manufacturing or at least assembling its vehicles in India. He pointed out the potential for research and development opportunities if Tesla decides to invest further in India.

100 ℅ tax ho sakta hai https://t.co/ggE6TP7ajw

— abdul rauf (@abdulra44141481) July 15, 2025


For now, however, Tesla seems out of reach for most Indian consumers. What was once considered an aspirational brand for the growing middle class now appears to be targeted primarily at the wealthy. Unless Tesla sets up manufacturing or assembly operations locally, the price will likely remain too high for the broader Indian market.

Tesla has launched the Model Y in India at a price of ₹61 lakh

This model gets sold at ₹32 lakh ($37,490) in the USA and you will be paying tax of ₹29 lakh tax to the government in India during the purchase

Thank you for your contribution in India’s growth story pic.twitter.com/Vzn45oUrrw

— Sumit Behal (@sumitkbehal) July 15, 2025

Tags: Tesla IndiaTesla India EntryTesla India launchTesla India Mumbai
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Thomas Babychan

Thomas Babychan is an experienced business and economic journalist with a focus on international trade, stock market, banking, and multilateral organizations. He also has expertise in international relations and diplomacy.

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