[hdus001]

I ran into an issue last month, with the RTO sending me a notice to pay pending tax for a car that I sold over 20 years ago. The notice came to my parent's home. Anyways, since the amount was low (about 7k), we paid it off, with an affidavit that we disposed off the car.

This worried me a bit, as I had sold other cars too, and if they're still on my name, I could be held responsible for anything that happens to them. Just looked up Parivahan for one of them, a Swift sold in 2019, and the site shows only 2 characters of the owner's name and those 2 chars match mine.

Now, I don't have any documents of the actual sale and done have details of the person who purchased it from me. It was advertised on olx, and i haven't kept any messages etc.

What options do I have? Is there any way I can let the RTO know that I don't own this anymore? Can things like this be done online (have been living overseas for 20+ years now, and don't visit India very often).

[hserus]

There is a form TCR that you have to send in to the RTO with a copy of the sale paperwork, intimating them that you have sold the car.

https://transport.maharashtra.gov.in...R/form_tcr.pdf

This is for the maharashtra govt but the same form is valid pan India.

[GTO]

One must document the sale, send copies of documents to the RTO, save the courier delivery receipt & take a picture of the car delivery (or video). All this & more in our how to sell a car article (ARTICLE: How to sell a *USED* car in India).

The only way to solve this menace of buyers not transferring the car is for the cops to impose heavy fines on the buyer and / or seize non-transferred cars.

[hserus]

Originally Posted by GTO

One must document the sale, send copies of documents to the RTO, save the courier delivery receipt

For any government or legal or bank loan etc documents don’t use private couriers.

Use speed post or registered post acknowledgment due.

[anjan_c2007]

It's a Catch 22 situation here. For such sales the vendor needs to be extra careful these days especially after the Supreme Court ruling that responsibility for transfer lies with the seller. That's now the law of the country.

The non availability of sale records with you and also the non availability of the name of the buyer puts you at risk.

The first step you need to take is to file a loss report (loss of sale documents and proof of sale) with the police station under whose jurisdiction the sale had taken place. You may also sign an affidavit solemnly swearing and stating that you have lost all the sale related documents, proof of sale and even name of the buyer. This affidavit needs to be attested by a state govt designated notary. A copy of the affidavit needs to be handed over to the police station while filing the loss report for authentication.

The next logical step will be to file a FIR in the same police station referring to the loss report number and attaching its copy. With this FIR you need to file a copy of the pending tax receipt that you claim to have received and paid. The car number and details etc need to be cited. The police needs to be requested to trace this car and its owner, since he or she has not yet effected the transfer of ownership. Such non transfer of ownership can land or entangle you as its present owner despite the sale being duly effected in future civil and criminal cases related to the car, you can state, as the ownership still vests with you.

If need be, talk to the superior police officials after or before filing such a loss report and the FIR.

[hdus001]

Originally Posted by anjan_c2007

The non availability of sale records with you and also the non availability of the name of the buyer puts you at risk.

Thanks for the detailed information. Appreciate it very much. Sounds like I have a police station visit to plan next time I'm home.

[condor]

Experts:

what would happen if @hdus001 had not paid the tax in response to the RTO notice ?

IMO, if the current user of the car was stopped for checking, and he would not have been able to produce the running FC/RC. Wouldnt the car then be impounded ? If that happens, that person would not have perused the release of the car. The car would then lie in the RTO yards, may be rust out, or get auctioned with a new RC ? I think this would have actually kept @hdus001 in a safer position (Unless some crime had been committed with the car by the current user)

Originally Posted by hdus001

This worried me a bit, as I had sold other cars too, and if they're still on my name,.

you can check the current ownership of these cars on the vahan website. If you are going to try that, I hope you remember the registration numbers of these cars.

[Turbanator]

Originally Posted by hdus001

I ran into an issue last month, with the RTO sending me a notice to pay pending tax for a car that I sold over 20 years ago.

As far as I know, in most states, RTO is for a lifetime (15Years). To renew that certificate, one needs to get the car checked for fitness and then pay RTO for the time it's approved, usually 1 or 2 Years.

There can be no demand from the RTO in case you have not got RC extended beyond 15 Years. Maybe the person who got your car is driving the same but it is not legal and I don't think, without fitness RTO can even ask for any taxes. Can you share a copy of the demand notice or mention under what heading the demand is made? There will be hundreds of thousands of vehicles past the 15 Year period but not being used, but there are no demands to pay taxes that I have heard of.

[hdus001]

Originally Posted by Turbanator

As far as I know, in most states, RTO is for a lifetime (15Years). To renew that certificate, one needs to get the car checked for fitness and then pay RTO for the time it's approved, usually 1 or 2 Years.

The notice was from the Motor Vehicles Department, in Malayalam, and said there are outstanding taxes of Rs 62k, for the period 2016-2022 (car was a 1998 model, so I guess the 15 yr tax expired in 2013, I sold it in 2002), and that it's a one-time offer to make a payment of 6.2k to clear this off. The offer was valid till Apr 2022. And if not paid, it said the revenue recovery process would start.

I spoke to a few people about this, including a friend's sister who happens to be the RTO of a different city. Apparently, this is nothing out of the ordinary and such notices are sent out every day, and they all recommended just paying it off, giving them an affidavit that we no longer own vehicle and request to cancel the RC (which we did).

I checked another car I sold a couple of years back (a 2012 car, sold in 2019), on vahan and looks like it still is on my name too. Unfortunately, I don't have any details of the buyer and so will have to see how to handle this next time I'm in my hometown.

[Turbanator]

Originally Posted by hdus001

The notice was from the Motor Vehicles Department, in Malayalam, and said there are outstanding taxes of Rs 62k, for the period 2016-2022 (car was a 1998 model, so I guess the 15 yr tax expired in 2013, I sold it in 2002), and that it's a one-time offer to make a payment of 6.2k to clear this off. The offer was valid till Apr 2022. And if not paid, it said the revenue recovery process would start.

I think its just a local thing in your area. The rules are very clear, if you donot get a new fitness certificate, no RTO is payable. There is no Automatic renewal of RC without fitness, atleast here in North. I personally own some cars from 2002 which are lying unused and we have never paid anything nor anyone has asked.

[thanixravindran]

MorTH has issued a notification in Dec 2016 on the penalties for the delay in fitness certificate renewal, renewal of registration and even change of address.

Fitness renewal delay - Upto Rs.50/- per day

Renewal of registration delay - Upto Rs.300 per month for personal cars and different rates for different class of vehicles

Various state governments can tweak these rates. I think the OP vehicle would have been caught during checking by Kerala MVD and hence the recovery has been initiated.

Please refer these links here and here.

Edit: Link to Kerala MVD itself which explains these penalties - https://mvd.kerala.gov.in/en/fees-0

[Turbanator]

Originally Posted by thanixravindran

MorTH has issued a notification in Dec 2016 on the penalties for the delay in fitness certificate renewal, renewal of registration and even change of address.

Yes, but these are only applicable if you are applying. The link you posted, mentions, owners planning for re-registration.

Vehicle owners planning to go for re-registration of vehicles and to apply for fitness certificates should be prepared to shell out more as the Motor Vehicles Department (MVD) has taken steps to implement the revised charges for vehicles older than 15 years, from April 1.

I think the OP vehicle would have been caught during checking by Kerala MVD and hence the recovery has been initiated.

This can be the only reason I believe unless it’s a money collection drive in that region to collect taxes from old vehicles. But in this case, if the vehicle is without fitness, it has to be impounded and released only after it passes the fitness and taxes are paid.

[Car-Agey]

One question

My father passed away in 2017. The car is in his name. How to transfer it in my name.

[condor]

From what little I know, you would need:

RC, Insurance and Emission. All these will have your father's name on them.
Death Certificate

Copy of Will, if the will states that the vehicle has to be transferred to a particular person.
If not, then a family tree (through local govt body), and an affidavit by surviving family members stating No Objection for the vehicle to be transferred to one of the family members.


C.E.:
Do check locally.