Maharashtra’s revised vehicle tax takes effect today, making luxury and goods vehicles pricier
Maharashtra’s revised one-time vehicle tax structure has officially come into effect from today, July 1, leading to higher costs for high-end cars, CNG/LNG vehicles and goods carriers across the state. The new policy, introduced by the state government, is expected to primarily impact luxury vehicle buyers and commercial vehicle operators, while electric vehicles will continue to enjoy full tax exemption.
Under the updated tax structure, the one-time tax ceiling has been raised from Rs. 20 lakh to Rs. 30 lakh. This means vehicles with ex-showroom prices exceeding Rs. 20 lakh will now attract higher taxes, with the additional tax amount for some vehicles going up by Rs. 10 lakh or more, according to Regional Transport Office (RTO) officials.
Petrol cars registered under individual names will continue with a tiered tax rate of 11% for vehicles priced below Rs. 10 lakh, 12% for those between Rs. 10 lakh and Rs. 20 lakh and 13% for vehicles priced above Rs. 20 lakh. For diesel cars, the corresponding rates are 13%, 14%, and 15% across the same price brackets.
CNG and LNG vehicles across all price categories will see a 1% increase in their one-time tax from today, making them slightly more expensive for buyers.
Imported vehicles and those registered under company names, whether petrol or diesel, will continue to be subject to a flat 20% one-time tax, irrespective of price.
A significant change has also been introduced for goods carriers, including pickup trucks, tempos (up to 7500 kg gross vehicle weight), and construction vehicles like cranes or compressors. The tax for these vehicles will now be calculated at 7% of the purchase price, replacing the previous system where the tax was based on vehicle weight. As an example, a pickup truck with an ex-showroom price of Rs. 10 lakh, which earlier incurred approximately Rs. 20,000 in tax, will now attract around Rs. 70,000.
Previously, taxes for goods vehicles ranged between Rs. 8400 and Rs. 37,800, depending on their weight category, as per transport department data.
Electric vehicles remain exempt from one-time tax. The state government had initially proposed a 6% tax on EVs priced above Rs. 30 lakh but that proposal was withdrawn, reinforcing incentives for eco-friendly transportation.
