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Old 3rd December 2009, 15:02   #31
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Any one having an idea about road tax for used cars in Punjab, e.g. if I buy a used car with delhi no. and transfer it to punjab would I have to pay 2% of the depreciated value or is there a flat rate for that?
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Old 3rd December 2009, 15:24   #32
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The road tax is for depreciated value (but remember that vehicles are cheaper in Delhi) and you don't have to pay entry tax if the vehicle is older than 48 months (2 years).

Pradeep

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Any one having an idea about road tax for used cars in Punjab, e.g. if I buy a used car with delhi no. and transfer it to punjab would I have to pay 2% of the depreciated value or is there a flat rate for that?
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Old 3rd December 2009, 16:32   #33
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thanks for the reply, but is there any prescribed depreciation slab wrt no of years or is it your purchase price? I am confused on this one. what documents are required for finding original price for a vehicle which is not in circulation anymore say a Baleno?

Last edited by rock75 : 3rd December 2009 at 16:34. Reason: spelling correction
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Old 6th December 2009, 06:14   #34
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I have a Hyundai Accent GVS (2002 Model) The tax is expiring in Feb 2010 . Can someone tell me how to renew the Tax and what is the Cost involved.
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Old 23rd July 2011, 22:23   #35
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Hey folks,

I was checking the ex showroom price of beat petrol and ritz diesel.

I have noticed that Maruti is charging 15.53% road tax on Ritz VDI ex showroom price, however Chevy is charging exactly 14.4% on Beat Petrol

Is the road tax on petrol cars 14.4% in bangalore and 15.53% on diesel cars in bangalore?
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Old 24th July 2011, 11:28   #36
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Default re: Road Tax Basics

Hey guys,

Does anyone have information about the above post?
I checked the karnatake RTO website, it says if vehicle value below 5 lakhs it is 12% +10%cess that is 13.3%
And if vehicle value above 5 lakhs 13% plus 10%Cess thats is 14.3%.

Why are the dealers charging us 15.5% and over and above that 5500 as RTO charges?
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Old 24th July 2011, 12:18   #37
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Default re: Road Tax Basics

Quote:
Originally Posted by Nash24 View Post
I checked the karnatake RTO website, it says if vehicle value below 5 lakhs it is 12% +10%cess that is 13.3%
And if vehicle value above 5 lakhs 13% plus 10%Cess thats is 14.3%.

I think you are looking at old figures, taxes have gone up recently.

Go to RTO website Transport Department ->RTO services -> Fees,Taxes and Fines -> The Karnataka Motor Vehicles Taxation (Amendment) Act, 2010 :

Vehicles costing between 5-10 lacs have 14% tax + 10% cess = 15.4 % total tax

Vehicles costing less than 5 lacs have 13% tax + 10% cess = 14.3 % total tax.

The 5,500 is charged by all dealers as "service charges" - you can always get the registration done your self and avoid paying that extra amount.

Last edited by sdp1975 : 24th July 2011 at 12:19.
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Old 24th July 2011, 12:49   #38
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Quote:
Originally Posted by sdp1975 View Post
I think you are looking at old figures, taxes have gone up recently.

Go to RTO website Transport Department ->RTO services -> Fees,Taxes and Fines -> The Karnataka Motor Vehicles Taxation (Amendment) Act, 2010 :

Vehicles costing between 5-10 lacs have 14% tax + 10% cess = 15.4 % total tax

Vehicles costing less than 5 lacs have 13% tax + 10% cess = 14.3 % total tax.

The 5,500 is charged by all dealers as "service charges" - you can always get the registration done your self and
avoid paying that extra amount.
Thanks,Is it easy to do registration ourself? 5500 is too much money that these dealers are charging
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Old 24th July 2011, 17:03   #39
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I think it would be better to get it done from the dealer - see if he is open to negotiation.

It's possible to do it yourself if you really want to - see the instructions on the RTO website.
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Old 18th October 2013, 14:10   #40
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Default Understanding Car PRICING (ex-showroon, taxes, registration, discounts & more)

I have been looking for a thread on "How OTR Price is Arrived at" by dealers.

Couldn't find any such information, so thought of posting it here. While there is a lot of discussion on inter-state tax, I couldn't find anything specific on OTR calculation.

I am currently researching on purchasing a new car and I was surprised to find a few things, these at present maybe specific to Maharashtra (taxes)

How is the On Road Price arrived at by the dealer
Ans. Usually when we go to any dealer for a car, they have a printed paper, which gives us the "break-up" leading to the On Road Price

Ex- Showroom Cost + Tax & Registration + Insurance + Handling Charges + LBT = On Road Price

Ex- Showroom - Varies from State to State as depending upon existing laws and taxes
Insurance - Best to purchase from outside, unless you're getting a good deal
Handling Charges - Dealers charge this amount, check if you can negotiate
Local Body Tax - After octroi, this is a new thing applicable for people who reside within Octroi limits, 2% for Vehicles below 10lacs

Tax & Registration - What percentage of the ex-showroom is applicable for payment of One time tax for vehicle purchasers. Previously I had never given a thought to this calculation, believing the dealer and the cost break-up shown therein.

This time I was checking the applicable taxes, as per the Pune RTO website, tax applicability is 7% (One time tax) for Motor Cars / Jeep & Omni Buses.

Pasting an excerpt from the site (http://www.rtopune.info/taxation.htm) :
A) Individual Owner 7 % of the cost of vehicle (Cost of vehicle = Cost of vehicle + Central Excise + Sales Tax)
B) Imported/ Company Owner 14 % of the cost of vehicle

This does not specify the type of fuel, though I would still go by the legal rule, that unless specified otherwise, the same rate would apply. Also, from the fact that they mention 'Jeeps/Omnibuses' which are Diesel vehicles.

Now, with this information, I checked with a couple of Dealers (Ford & Mahindra) and asked them to give me the On Road Price for Figo & Bolero.

Lets look at both;

1. Figo - Registration @ 11%, No Local Body Tax
and in the small print written at the bottom, they mention that Registration & Taxes also include some 'Other' charges which may be applicable.
When I asked how were they calculating the Tax @ 11% when the mandate was 7%, he first didn't have any answer, then after a while he said that 7% was applicable for Petrol Vehicles and 11% for Diesel Vehicles.

What I feel :
If it was indeed 11% just for One Time Tax then the calculation should have been
One Time Tax (11%) + Registration Fees (500-600) + 'Other Charges
Whereas, the sum quoted including the above totalled to 11% of the ex-showroom cost.

Obviously, the dealer won't be paying from his pocket for my registration/other charges

2. Bolero - Registration @ 11% + Local Body Tax @ 4%
and in the small print written at the bottom, they mention that Registration & Taxes also include some 'Other' charges which may be applicable.
Upon pointing that Local Body Tax if applicable should be charged at 2% for private vehicles under Rs. 10 Lacs he did not have a clear answer again.
Regards to Registration again there was no clear response, I have been asked to drop in a mail to him and he said he would need to check with his manager on my queries and then revert.

Now after visiting these 2 dealerships quiet a few things come out

1. Why the difference in approach regards to Local Body Tax?
2. What are the 'Other Charges' at the time of registration and how much do they amount to?
3. If One Time Tax itself is to be charged @11%, then how come the total of registration and tax comes to 11% and not higher
4. What is the actual %age of one time tax applicable in Maharashtra for Private Vehicles?

5. Sites referred:
http://www.mahatranscom.in/tax_calculation.aspx
http://www.rtopune.info/taxation.htm

Both the above sites calculate the one time tax at 7%, are both the sites giving incorrect information?

I know maybe visiting the RTO would shed some more light, but I would want to rely on something documented rather than some verbal information. Is there something available which can be referred to?

And lastly, the questions which I have raised do you find them valid? Or am I just getting overly inquisitive?

Would appreciate inputs and clarifications, I will also paste in the reply from the Mahindra dealership.
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Old 18th October 2013, 21:05   #41
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Default Re: Understanding Car PRICING (ex-showroon, taxes, registration, discounts & more)

Other charges may mean handling charges and the like which may or may not include the extended warranty and / or accessories such as mats and mudflaps. They are usually shown in detail.

The lesser amount other than that is calculated by you may be because the vehicle is under invoiced.

Omni bus need not necessarily be a diesel vehicle. Maruti Omni 8 seater is treated as Omni bus ( in AP).

The website shows a 7 % life tax for non - transport vehicle owned by individual and the tax rate of 14 % when registered in the name of company. And not based on the type of fuel used.

Local body tax or Octroi is not collected in all municipalities/corporations. Such tax doesnt concern the RTA if at all some local bodies collect tax on vehicles registered in its limits.
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Old 25th October 2013, 18:34   #42
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Posting in behalf of a friend:
Recently, my friend purchased a vehicle in Mumbai and as usual outsourced the registration to the dealer. The vehicle has been registered and dealer has provided him the Road tax receipt. However, the road tax receipt doesn't tally with 9% of the tax invoice provided by the dealer but shows a shortfall of approx Rs 3000/-. Since Dealer has already taken payment towards Road tax and Handling charges, he has offered to adjust the difference in accessories price which implies error on Dealer's part. For the avoidance of doubt, 9% road tax amount is calculated on the tax invoice on-road value of the vehicle and Accessories, Extended Warranty, handling charges, Depot charges, insurance etc are separately billed. His question is:
1. What are the implications of under payment of road tax?
2. How to rectify this error done by dealer? Is there a mechanism of paying the balance road tax? Whether there will be any issue created by RTO officials or any penalty/compounding fee is payable.

Would appreciate the experts' views on above to help this poor soul.

Thanks.
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Old 7th August 2015, 22:13   #43
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Default Re: Road Tax Basics

Hi Folks, Requesting recent experience on this topic from fellow members. I am planning to buy Fiat Linea T-jet from Vellore (TN) as the dealer there is known and giving me higher discounts than what's possible in Bangalore (KA). Is it possible that I can drive in a temp registration from Vellore to Bangalore and do a registration in Bangalore after paying the road taxes ?
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