[sandx]

One of the stupidest ordinance, implemented without any data to prove it will help or is helping. I sincerely don't think that such kind of tax will help decrease the number of vehicles on the road or whatever the intention may be. Here in Hyderabad the dealers openly suggest registering the vehicle in a relative's name to avoid this tax and the other surprising thing is that it even applies to a 2 wheeler if you have a car already.

At first I was surprised to hear this, now the car that i have is a pre worshiped one, when I was about to purchase a scooter, the dealership indicated about this tax to me. Even then i had assumed that it must be applicable only for new vehicles or for 4 wheeled ones but when I had queued up in the RTO for registering my scooter they searched the system and indicated that I already had a car in my name and I had to pay the extra tax. So i had to get at additional pay order made in favor of the RTO and queue up again on a second day. As per a news report i read few days back the RTOs were contemplating doing away with this tax or reviewing the implementation again because even they are aware how the buyers are using workarounds to dodge this.

In my case the dealer was repeatedly suggesting to register the scooter in my wife's name but I politely refused indicating if the clause comes up I would like to pay for what's due rather than leveraging a loophole.

[John]

This rule has been in force in Telangana/AP for more than 8 years. Telangana Govt was supposed to cancel it, but this never happened.
Even if you have sold your old vehicle, until it gets transferred to the new owner, you are liable to pay this tax if you are buying a new vehicle.
Most times, just because of an overlap, you end up paying this additional tax.