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Old 17th September 2008, 16:27   #46
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Arrey guys, that is how they calculate tax, before depreciation, and then tax on tax. I have repeatedly confirmed it. They are not going to make an exception for me. It is not like I have any alternative RTO to approach.
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Old 17th September 2008, 16:36   #47
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Is there a document somewhere which lists this calculation or is it at the fancy of the RTO?

I looked up here http://rto.kar.nic.in/Taxation%20Ame...0TO%202007.pdf but didnt get anything specific.

I have a Classic which i want to get to bangalore(blame Shahnawaz Khan), and if they are going to tax me so much i well as not bother about getting it registered.
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Old 17th September 2008, 16:45   #48
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Quote:
Originally Posted by Spitfire View Post
I looked up here http://rto.kar.nic.in/Taxation%20Ame...0TO%202007.pdf but didnt get anything specific.
I went with a printout of this, only to find out about a new circular informing about the new rates.
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Old 17th September 2008, 16:59   #49
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And i am thinking that circular is not available to the public because other then the tax rates it includes instructions on how to build WMDs.
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Old 17th September 2008, 17:09   #50
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And I thought 8% roadtax in TN was high.

By the way, shouldn't the invoice value of the vehicle be depreciated and that taxed by 12%.
In which case,
current depriciated value of vehicle: 356160 x 0.33 = Rs.117533
Tax on the current value = Rs.117533 x 0.12 = Rs.14,103 (without penalty)
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Old 17th September 2008, 17:55   #51
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Quote:
Originally Posted by wheeler View Post
Samurai San, what I fail to understand is why is the road tax of 12% calculated on 3.56L? Isn't it supposed to be calculated on the depreciated value of the JEEP? ...
how does it makes any difference??
in either case the tax would come out to be same!!!
or
did I miss out anything on the calculations part.

only grouse could be on the 10% municipal tax on the Road tax though as said by bangloreans that the conditions are not being improved.
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Old 17th September 2008, 18:29   #52
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Quote:
Originally Posted by Samurai View Post

Now to the actual calculations:

According to GAAP (generally accepted accounting principles), I thought one can't levy tax on tax, or that tax is applied on depreciated value of an older vehicle. But GAAP is obviously not acceptable to Karnataka government.

The oldest invoice I could manage to get was for 1998 CL340, invoiced at Rs.3,56,160. Also NOC was slightly older than 1 month. And this is how they calculate tax.

Road tax (12%): 356160 X 0.12 = 42739.20
Municipality tax (10%) on road tax: 42739.20 X 0.1 = 4273.92
Total tax on invoice price = Rs.47013.12

Total tax after depreciation for 13 years (33%) : 47013.12 X 0.33 = 15514.32
Penalty for delayed registration (2%): 15514.32 X 0.02 = 310.24
Grand total = Rs.15824.60 only
Lets check this out

Invoice price = 356160
depreciation for 13 years (33%) : 356160 x 0.33 = 117532.8
Road tax (12%): 117532.8 X 0.12 = 14103.93
Municipality tax (10%) on road tax: 14103.93 X 0.1 = 1410.39
Total = 15514.32

Penalty for delayed registration (2%): 15514.32 X 0.02 = 310.24
Grand total = Rs.15824.60 only

So, there is not even 1 paise difference in either calculation.

Quote:
Originally Posted by mjothi View Post
What for? For not providing any parking place to park our vehicles? I wanted to see the "officer" who have passed such a practice of calculating the TAX.

I was hoping that they will depreciate the vehicle value first and have tax for that amount. So, its basically depreciation on TAX.
See calculation above. Makes no difference buddy.

GAAP is something these guys have no clue about. But I would be happy that they did not decide to levy 10% on the depreciated price and levied only 10% on the tax.

Cheers,

Rajan
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Old 17th September 2008, 18:36   #53
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Quote:
Originally Posted by Spitfire View Post
.... I have a Classic which i want to get to bangalore(blame Shahnawaz Khan), and if they are going to tax me so much i well as not bother about getting it registered.
...You wicked fellow.

In Bangalore, with jeeps, I haven't see any issue (at least in any OTR's we have been to. Can't say about city driving). There are several jeeps that have non KA reg on them.

Long back, almost a year ago, I remember while coming back from Soligere the cops stopped a few jeeps and asked for papers etc. Needless to say no one had them and in fact we kind of ganged up on cops on who the hell keeps papers for jeeps etc etc.. They let us go.

But, that could have been a lucky day. With cops, you never know.

Also, this trick 'could' be effective on a jeep. A non KA reg number written in Kannada .

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Last edited by khan_sultan : 17th September 2008 at 18:39.
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Old 17th September 2008, 18:39   #54
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Just curious, why not fake a farji address in TN/wherever, and get it registered in your name there? no road tax expense?
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Old 17th September 2008, 18:57   #55
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Because Samurai can never claim he just drove it down from TN and the law states that if the vehicle is continuously in KA for more than 9 months, it has to be re-registered in KA. It is also probably difficult for Samurai to obtain a genuine address in TN. And most importantly, all this is to get the CJ340 registered in his name.

I mentioned the "just drove it down" because I can claim that. I'm not planning to re-register my car in KA since the plan is to sell it in TN.

Last edited by hrag : 17th September 2008 at 19:00.
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Old 18th September 2008, 09:33   #56
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Quote:
Originally Posted by PatchyBoy View Post
See calculation above. Makes no difference buddy.
Oops. You right. Now you know How much I am good in Maths.
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Old 18th September 2008, 10:04   #57
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Quote:
Originally Posted by hrag View Post
Because Samurai can never claim he just drove it down from TN and the law states that if the vehicle is continuously in KA for more than 9 months, it has to be re-registered in KA. It is also probably difficult for Samurai to obtain a genuine address in TN. And most importantly, all this is to get the CJ340 registered in his name.

I mentioned the "just drove it down" because I can claim that. I'm not planning to re-register my car in KA since the plan is to sell it in TN.
is it 9 months? then backing that up should be easy, get some toll gate passes every few months to back up your claim that you just droe down last month.

I used to get fuel pump receipts from kerala once every month while I was studying in Mangalore. It didn't make sense to pay lifetime tax for a car that was to run in karnataka only for 3 yrs.
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Old 18th September 2008, 10:16   #58
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rippergeo, let us not forget that the MOST IMPORTANT thing was to get the Jeep registered in Samurai's name. Fuel bills, duration of stay in KA etc. are all secondary.
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Old 18th September 2008, 10:17   #59
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Quote:
Originally Posted by rippergeo View Post
is it 9 months? then backing that up should be easy, get some toll gate passes every few months to back up your claim that you just droe down last month.
.
I don't think this toll gates receipts are gonna really help. That too, in todays trend he too knows that most guys keep driving to Chennai or other places in TN almost every week Infact I know some guys with the pollution control sheets done in TN so they can claim its not old enough to get it registered in KA. But, it all depends on the cops. If he is "dedicated" to fine, then at the max we can argue and get the amount down.

Just my opinion.
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Old 18th September 2008, 10:19   #60
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Quote:
Originally Posted by Samurai View Post
I went with a printout of this, only to find out about a new circular informing about the new rates.

Apply at Right to information office in your city, they have to give you this info.
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