Pay more to own vehicle in Odisha

Bhubaneswar, Sep 9 (IANS) Owning a vehicle would now cost more in Odisha as the state cabinet on Wednesday decided to amend the Odisha Motor Vehicles Taxation Act, 1975 making one-time vehicle registration tax higher than before.

The cabinet decided to amend the Act for mobilisation of additional resources for the state on the basis of suggestions of an expert committee headed by retired IAS officer Sanjib Chandra Hota, said state chief secretary G.C. Pati.

As per the new rates, all private vehicles, including two-wheelers and cars, will be charged at a flat rate of six percent of their cost less than Rs.5 lakh.

Presently, one-time tax is being collected for personal vehicle at five percent of the cost of the vehicle.

“Vehicles costing Rs.5 lakh to Rs.10 lakh will be charged 8 percent of their cost while vehicles costing between Rs.10 lakh and Rs.20 lakh will be charged 10 percent, and vehicles costing between Rs.20 lakh and Rs.40 lakh will be charged 12 percent,” said commerce and transport secretary Sanjay Rastogi.

Luxurious vehicles, which cost more than Rs.40 lakh, would be levied 20 percent of their cost, he added.

Vehicles which have crosses 15 years will have to pay green tax to ply on road.

“A green tax will be imposed on old vehicles which have crossed 15 years, to discourage such vehicles to ply on road as they are causing maximum collateral damage to life and property,” said the transport secretary.

While transport vehicles would have to pay Rs.5,000 annually for five years, non-transport vehicles would pay Rs.1,000 to ply on road.

The cabinet also approved to abolish the Odisha Administrative Tribunal, established in 1986 by the union government.

“The very objective of the establishment of the tribunal to give quick justice to government employees could not be achieved… so, the cabinet considered the proposal of abolition of the tribunal and approved in principle,” said the chief secretary.

The proposal will be sent to the Centre for issue of notification for abolition of the tribunal, he added.

The state government would discuss with the Orissa High Court on how to prepare modalities for transfer of pending cases in the tribunal and, if required, more judges would be appointed in the high court after discussing with the Centre.

A total of 31,820 applications and 22,514 miscellaneous cases are pending before the tribunal.

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