NAGPUR: The Nagpur Regional Transport Office (RTO) has blacklisted 23 luxury vehicles over suspected evasion of Maharashtra motor vehicle tax. E-challans have also been issued against the vehicles, which were purchased in Nagpur but registered in other states or Union Territories, allegedly to avoid paying higher road tax in Maharashtra.
Nagpur City Regional Transport Officer Kiran Bidkar said the vehicles have been blacklisted to prevent further documentation-related transactions until the investigation is completed.
The RTO is examining service histories from authorised manufacturer service centres, FASTag transaction records, insurance documents and Pollution Under Control (PUC) certificates. The findings will be used to establish the vehicles’ usage patterns before tax demands are issued.
Luxury Cars Bought in Nagpur, Registered Outside Maharashtra
According to the preliminary findings, the vehicles were purchased in Nagpur but registered in locations such as Dadra and Nagar Haveli and Daman and Diu, Chandigarh and Punjab, where road tax rates may be lower.
The suspected practice involves registering vehicles outside Maharashtra despite their being used primarily in the state. The RTO is investigating whether the registrations and subsequent use of these vehicles violate applicable motor vehicle tax and registration requirements.
Under Section 47 of the Motor Vehicles Act, 1988, a vehicle kept in another state for more than 12 months generally requires a new registration mark in that state, subject to the applicable provisions.
Maharashtra Charges Higher Road Tax on Luxury Vehicles
Bidkar said there is a substantial difference between Maharashtra’s motor vehicle tax rates and those applicable in certain other jurisdictions.
According to the RTO, the applicable road tax rates in Maharashtra include:
- Petrol cars registered in individual names: 13%
- Diesel cars registered in individual names: 15%
- Imported vehicles and cars registered in company or corporate names: 20%
The applicable rate depends on the vehicle category and relevant tax provisions. The difference in rates is one of the factors being examined in the investigation.
BMW X1 M Sport Checked Near Deekshabhoomi
In one instance, the Nagpur RTO team stopped a newly purchased BMW X1 M Sport near Deekshabhoomi and issued an e-challan as part of its enforcement action.
The case forms part of the broader scrutiny of luxury vehicles registered outside Maharashtra but suspected of being used in Nagpur without meeting the state’s applicable tax and registration requirements.
Tax Recovery to Follow Investigation
The RTO has stated that vehicle owners found liable after the investigation will be required to pay the applicable tax dues.
The examination of service records, FASTag data, insurance papers and PUC documents is expected to help authorities determine the vehicles’ usage patterns and establish whether Maharashtra tax obligations have been avoided.
The action against the 23 vehicles marks an enforcement drive by the Nagpur RTO to examine suspected road tax evasion involving luxury cars registered outside the state.
