Goa government reduces road tax by 50% on new vehicle purchase

Goa government reduces road tax by 50% on new vehicle purchase

first_imgThe Goa government has decided to slash road tax by 50% on purchase of new vehicles for a period of three months to boost the auto industry, State Transport Minister Mauvin Godinho said on Tuesday. With festivals like Dussehra and Diwali coming up, the State government’s decision will help the sluggish auto industry, he told PTI.“The Government has decided to reduce the road tax by 50% on purchase of new vehicles for three months from October,” Mr. Godinho said. As per a Transport Department official, there was a decline of 15% to 17% in the overall registration of vehicles in the State during first four months of the current financial year. A total of 19,480 vehicles were registered from April to July this year, he said. Currently, two-wheelers costing up to ₹1.5 lakh are taxed 9% of the vehicle’s cost, and for those in the range of ₹1.5 lakh to ₹3 lakh, the tax is 12%.Vehicles costing above ₹3 lakh are charged 15% tax. For four-wheelers up to ₹6 lakh, the tax is 9%, while those upto ₹10 lakh are charged 11%.Vehicles costing ₹10 lakh to ₹15 lakh are charged 11% tax and those costing more have to pay 13%. Meanwhile, the Opposition Congress said the move may benefit the common man, but it also shows that the government has “failed” in economic management.“It may superficially appear that the 50 per cent reduction in road tax will benefit the common man, but the hard truth is that due to the failed economic management of the BJP government, people don’t have the financial strength to buy vehicles,” Goa Congress president Girish Chodankar said.last_img

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