Road tax is levied on cars, bikes, trucks and other vehicles. The State and other Union territories in India levy it. Road tax is imposed considering factors like the vehicle's engine or seating capacity. Road tax is different in each State and city.
Kerala also has its road tax regimes and figures. If you own a vehicle registered in Kerala or are driving around the roads of Kerala, you must adhere to the traffic rules of the State and pay the fixed road tax imposed by the government as per the Central Motor Vehicles Act 1988.
According to the Motor Vehicles Act 1988, it is mandatory to pay road tax regardless of which State or city you reside in India. It is similar to having a valid driver's license and insurance. The Kerala RTO collects road tax from every vehicle owner, and that amount is utilised to improve and maintain the roads of the State.
The amount of tax paid by the vehicle owner in Kerala depends on the type of vehicle and the engine capacity. The tax payable also alters for petrol-powered and diesel-powered vehicles respectively. Here is how tax is calculated in Kerala:
Factors such as the type of four-wheeler, age, vehicle cost, etc., are considered when levying road tax in Kerala. In the case of four-wheelers, the vehicle's age and overall buying cost determine most of the tax imposed by the government. The more expensive the vehicle, the bigger the tax payable.
Tax levied on vehicles older than 15 is called Green Tax. Currently, the green tax for transport vehicles above 10 years old is a maximum of Rs 400 per year. It is Rs 400 for non-transport automobiles, which are 15 years of age, for five years. The government introduced the green tax to discourage people from using old vehicles, contributing to the increased pollution caused by automobiles.
Kerala imposes a 5% tax on electric vehicles. Unlike Tamil Nadu, Kerala has not waivered the tax on EVs.
The government has taken this initiative to promote automobile usage that does not contribute to the increased environmental pollution. It is an awareness to safeguard nature.
You must also pay road tax while buying a used car unless the previous owner has paid the same for a particular period. If you happen to buy the car and the road tax paid has expired, then you must pay the same.
Here are the steps to follow to pay road tax in Kerala.
Paying road tax is mandatory in all states and cities in India. It is a punishable offence not to pay your road tax. The amount collected by each State differs based on parameters set by the regional RTO. It is essential to learn about the tax details in the State when purchasing a vehicle.
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