2 weeks Ago
The Uttar Pradesh government has issued a notification hiking the one-time and annual tax structure for non-transport vehicles (personal vehicles) under the Uttar Pradesh Motor Vehicles Taxation Act, 1997, by one per cent across categories. The new rates, notified on April 21 (Monday) by the transport principal secretary, came into immediate effect. Under the updated Schedule-I, one-time tax rates for new non-transport vehicles vary based on vehicle type and cost.
The tax slab for two-wheelers costing less than ₹ 40,000 remains at 7% of the costs. It went up from 8% to 9% on others costing more than ₹ 40,000. The one-time tax on non-AC private vehicles (cars, SUVs, etc.
) costing less than Rs10 lakh has been increased from 7% to 8% while on AC vehicles the tax has gone up from 8 % to 9%. The rate for motor vehicles with AC/non-AC costing above ₹ 10 lakh has been revised to 11%. Trailers drawn by vehicles attract a 2% tax on trailer cost.
The notification also introduces a 5% tax rebate per year for already registered vehicles, capped at 75% of the prevailing tax. Significantly, 100% tax exemption is offered for electric vehicles (EVs) if they are purchased and registered in Uttar Pradesh from October 14, 2022, to October 13, 2025. EVs manufactured, purchased, and registered in Uttar Pradesh from October 14, 2025, to October 13, 2027, under the UP Electric Vehicle Manufacturing and Mobility Policy, 2022 will also continue to enjoy 100% tax exemption.
This exemption, however, excludes e-rickshaws as well. Under Schedule-II, the annual tax for old non-transport vehicles has been fixed at ₹ 1,000 for two-wheeler categories and ₹ 2,000 for four-wheelers weighing between 1,000 kg and 5,000 kg..
