Annual Road Tax

kreddy · 28th April 2009, 13:14

Dear Guys,

What is this funda about paying very nominal annual road tax instead of life time tax for central/public sector employees who have a transferrable job. One of my wife's colleague purchased a Dzire LDI here in Bangalore and instead of approximately Rs.70000 life time tax they had to pay around Rs.800 per year.

I cant believe this. Can any of you guys throw some knowledge on this?

hrag · 28th April 2009, 13:25

Yes, central government employees with transferable jobs and defence personnel are exempt from paying Life Time Tax. They can pay annual tax (like all of us used to be able to do earlier) every year in which state they are.

kreddy · 28th April 2009, 13:44

Quote:

Originally Posted by hrag

Yes, central government employees with transferable jobs and defence personnel are exempt from paying Life Time Tax. They can pay annual tax (like all of us used to be able to do earlier) every year in which state they are.

hrag,

I can understand this concept. How many years is lifetime for a vehicle? If it is 15 years my lifetime tax should be annual tax x 15 years. That does not seem to be case here.

s.prashanth · 28th April 2009, 17:34

Quote:

Originally Posted by kreddy

hrag,

I can understand this concept. How many years is lifetime for a vehicle? If it is 15 years my lifetime tax should be annual tax x 15 years. That does not seem to be case here.

well everything in life is not fair.

hrag · 28th April 2009, 17:36

Lifetime is not 15 years. Lifetime is lifetime. If you look at your RC / tax token (or receipt), you will see an end date for the registration alone. There is no end date for LTT.

However, when you apply for a refund from home state after paying tax elsewhere, the tenure is taken as 15 years for the purpose of calculation of refund amount.

mvns84 · 28th April 2009, 18:13

It's a strange rule that the babu's made for themselves. The annual road tax comes to Rs.850 irrespective of the vehicle cost. So it may be a tata nano or a ferrari, the tax amount remains the same. Guess its also true as these central govt employees who have a transferable job(only for them) move around to different jobs in different states, making it difficult to pay and repay the LTT. One more thing, this is not available for state govt. officers( cause in one state; no question of transfer).

And once a car has been started on annual road tax, the rto's just continue on it. No check if the person is retired or has left govt service.

This is great for petrolheads who are about to get married. Choose a partner working for the central govt. double benefit. You can buy an expensive car, and save a lot on the road tax.

anujmishra · 22nd July 2009, 13:32

Can Bank employees (SBI, Bank of India) etc also falls under Central Government Staff Category?

My brother is working for bank and if I wish to buy car on his name, whether Tax Exemption Benefit I can get ? Someone please confirm.

Why don't we all write to Ministry of Surface Transport, New Delhi about Road Tax concern. I beleive Mr. KamalNath is very active persoan and he will soon take congizance of issue and will do something in this regard.

Ministry of Road Transport & Highways

or we can drop a letter to following address

Ministry of Road Transport & Highways

Transport Bhavan

1, Parliament Street

New Delhi-110001

I had written to Ministry some 8 months back through website feedback. After one month I got written reply from Transport Secretory of Ministry replying that Road Tax is of State Matter.

rupa_upadhyay · 4th June 2010, 09:17

Dear All,

I have a question related to Road Tax.

When a central government employee buys a vehicle in his / her name, they are exempted from pay life time road tax, instead they pay yearly tax. RTO asks for letter issued from the employer stating that the person is in a transferable job.

Say if the employee retires from service in 2011. Can he still continue paying year tax or should he pay Life Time?

Thanks in advance.
Rupa

rupa_upadhyay · 5th June 2010, 07:58

Can someone please throw some light on the above question?

rishab.k · 5th June 2010, 09:25

Do you mean to say you have to produce that letter every year while paying yearly tax?

sarmarishi · 5th June 2010, 09:38

Well looking at the heading I thought annual taxation like countrie abroad was getting introduced. I wish they do and they do it as per the CC of the car you are driving. This also helps in keeping law and order and you have to clear all traffic challans before you get the tax done. And each year they issue a different sticker so any vehicles without it has to pay massive fines.

rkg · 5th June 2010, 10:26

Quote:

Originally Posted by rupa_upadhyay

Dear All,

I have a question related to Road Tax.

When a central government employee buys a vehicle in his / her name, they are exempted from pay life time road tax, instead they pay yearly tax. RTO asks for letter issued from the employer stating that the person is in a transferable job.

Say if the employee retires from service in 2011. Can he still continue paying year tax or should he pay Life Time?

Thanks in advance.
Rupa

Every year they have produce letter from office stating that he/she still working in that organization and is liable to serve anywhere in India

This is totally fair because in many GOI department's transfers are routine every three/four years.

When you compare this with various facilities private companies offer to their employees to avoid Tax this annual tax is definitely fair and legal ( like - buy car in spouse name/company name show it as leased one and deduct the EMI paid from IT calculations, Food coupons which were used for everything except food etc)

BuRnT RuBbEr · 13th October 2010, 13:15

Apologies for bumping the thread, but had a very related question.

Is this applicable for Delhi as well?

GForce1980 · 13th October 2010, 13:37

Quote:

Originally Posted by BuRnT RuBbEr

Apologies for bumping the thread, but had a very related question.

Is this applicable for Delhi as well?

Well, since this thread has already been bumped.

I had purchased an SX4 here in Bangalore in the year 2009 on my Dad's name & I am only paying Annual Road Tax. By the way, my Dad works at SBI.

I don't think this is dependent on the city/state. It should be an all India Policy.

sharktale · 28th August 2018, 11:33

My '14 Grand i10's road tax permit is due to expire early next year.
I was trying to pay the road-tax beforehand using the parivahan.gov.in site.

However, upon entering the car details, I am getting an error :

"Alert!Vehicle registration status found active in more than one RTO/ State, Please contact respective RTO for de-activation of vehicle registration as per your requirement."

Is there any way to resolve it, without having to physically enter the RTO premises?

28th April 2009, 13:14	#1
kreddy BHPian Join Date: Oct 2008 Location: Bangalore Posts: 86 Thanked: 36 Times	Annual Road Tax Dear Guys, What is this funda about paying very nominal annual road tax instead of life time tax for central/public sector employees who have a transferrable job. One of my wife's colleague purchased a Dzire LDI here in Bangalore and instead of approximately Rs.70000 life time tax they had to pay around Rs.800 per year. I cant believe this. Can any of you guys throw some knowledge on this?
	() Thanks

28th April 2009, 13:25	#2
hrag BANNED Join Date: Nov 2004 Location: Bangalore / Madras Posts: 1,982 Thanked: 32 Times	Yes, central government employees with transferable jobs and defence personnel are exempt from paying Life Time Tax. They can pay annual tax (like all of us used to be able to do earlier) every year in which state they are.
	() Thanks

28th April 2009, 17:36	#5
hrag BANNED Join Date: Nov 2004 Location: Bangalore / Madras Posts: 1,982 Thanked: 32 Times	Lifetime is not 15 years. Lifetime is lifetime. If you look at your RC / tax token (or receipt), you will see an end date for the registration alone. There is no end date for LTT. However, when you apply for a refund from home state after paying tax elsewhere, the tenure is taken as 15 years for the purpose of calculation of refund amount.
	() Thanks

28th April 2009, 18:13	#6
mvns84 Newbie Join Date: Apr 2009 Location: bangalore Posts: 15 Thanked: 0 Times	It's a strange rule that the babu's made for themselves. The annual road tax comes to Rs.850 irrespective of the vehicle cost. So it may be a tata nano or a ferrari, the tax amount remains the same. Guess its also true as these central govt employees who have a transferable job(only for them) move around to different jobs in different states, making it difficult to pay and repay the LTT. One more thing, this is not available for state govt. officers( cause in one state; no question of transfer). And once a car has been started on annual road tax, the rto's just continue on it. No check if the person is retired or has left govt service. This is great for petrolheads who are about to get married. Choose a partner working for the central govt. double benefit. You can buy an expensive car, and save a lot on the road tax.
	() Thanks

22nd July 2009, 13:32	#7
anujmishra Senior - BHPian Join Date: Jun 2008 Location: Bangalore Posts: 1,292 Thanked: 495 Times View My Garage	Can Bank employees (SBI, Bank of India) etc also falls under Central Government Staff Category? My brother is working for bank and if I wish to buy car on his name, whether Tax Exemption Benefit I can get ? Someone please confirm. Why don't we all write to Ministry of Surface Transport, New Delhi about Road Tax concern. I beleive Mr. KamalNath is very active persoan and he will soon take congizance of issue and will do something in this regard. Ministry of Road Transport & Highways or we can drop a letter to following address Ministry of Road Transport & Highways Transport Bhavan 1, Parliament Street New Delhi-110001 I had written to Ministry some 8 months back through website feedback. After one month I got written reply from Transport Secretory of Ministry replying that Road Tax is of State Matter. Last edited by anujmishra : 22nd July 2009 at 13:44.
	() Thanks

4th June 2010, 09:17	#8
rupa_upadhyay Newbie Join Date: Jul 2009 Location: Bangalore Posts: 23 Thanked: 0 Times	Life Time or Yearly Road Tax? Dear All, I have a question related to Road Tax. When a central government employee buys a vehicle in his / her name, they are exempted from pay life time road tax, instead they pay yearly tax. RTO asks for letter issued from the employer stating that the person is in a transferable job. Say if the employee retires from service in 2011. Can he still continue paying year tax or should he pay Life Time? Thanks in advance. Rupa
	() Thanks

5th June 2010, 07:58	#9
rupa_upadhyay Newbie Join Date: Jul 2009 Location: Bangalore Posts: 23 Thanked: 0 Times	Can someone please throw some light on the above question?
	() Thanks

5th June 2010, 09:25	#10
rishab.k BHPian Join Date: Jun 2009 Location: Lucknow Posts: 173 Thanked: 13 Times	Do you mean to say you have to produce that letter every year while paying yearly tax?
	() Thanks

5th June 2010, 09:38	#11
sarmarishi BHPian Join Date: Oct 2009 Location: Bangalore Posts: 429 Thanked: 89 Times View My Garage	Well looking at the heading I thought annual taxation like countrie abroad was getting introduced. I wish they do and they do it as per the CC of the car you are driving. This also helps in keeping law and order and you have to clear all traffic challans before you get the tax done. And each year they issue a different sticker so any vehicles without it has to pay massive fines.
	(1) Thanks

13th October 2010, 13:15	#13
BuRnT RuBbEr BHPian Join Date: May 2005 Location: DL 1 Posts: 367 Thanked: 13 Times	Apologies for bumping the thread, but had a very related question. Is this applicable for Delhi as well?
	() Thanks

28th August 2018, 11:33	#15
sharktale BHPian Join Date: Mar 2015 Location: SG / CCU Posts: 391 Thanked: 797 Times View My Garage	Re: Annual Road Tax My '14 Grand i10's road tax permit is due to expire early next year. I was trying to pay the road-tax beforehand using the parivahan.gov.in site. However, upon entering the car details, I am getting an error : "Alert!Vehicle registration status found active in more than one RTO/ State, Please contact respective RTO for de-activation of vehicle registration as per your requirement." Is there any way to resolve it, without having to physically enter the RTO premises?
	() Thanks