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Karnataka Road Tax

Updated on December 18, 2024 , 175267 views

Karnataka is one of the renowned states with 30 districts and best road connectivity. The state government has imposed a road tax on every vehicle plying on the roads of the state.

The road tax is levied under the Karnataka Motor Vehicles Taxation Act, which was introduced in 1957. Under this act, tax is considered for all the vehicles, whether it is sold or newly registered.

Calculate Karnataka Road Tax

The road tax in Karnataka is charged by considering several factors such as the price of the vehicle, manufacture, seating capacity, engine capacity, etc. The other factors considered are - the purpose of the vehicle, whether it is personal or commercial.

Road Tax on Two-Wheelers

The road tax is mainly dependent on the cost of the vehicle and the age.

The tax rates for two-wheelers are as follows:

Vehicle Category	Tax Rate
New two-wheeler pricing Rs. 50,000	10% of the cost of the vehicle
New two-wheeler pricing between Rs. 50,000 to 1,00,000	12% of the cost of the vehicle
New two-wheeler pricing above Rs. 1,00,000	18% of the cost of the vehicle
New electric two-wheeler	4% of the cost of the vehicle
Vehicle that is not more than 2 years old	93 % of the cost of the vehicle
Vehicle between 3 to 4 years old	81% of the cost of the vehicle
Vehicle between 4 to 5 years old	75% of the cost of the vehicle
Vehicle between 5 to 6 years old	69% of the cost of the vehicle
Vehicle between 6 to 7 years old	64% of the cost of the vehicle
Vehicle between 7 to 8 years old	59% of the cost of the vehicle
Vehicle between 8 to 9 years old	54% of the cost of the vehicle
Vehicle between 9 to 10 years old	49% of the cost of the vehicle
Vehicle between 10 to 11 years old	45% of the cost of the vehicle
Vehicle between 11 to 12 years old	41% of the cost of the vehicle
Vehicle between 12 to 13 years old	37% of the cost of the vehicle
Vehicle between 13 to 14 years old	33% of the cost of the vehicle
Vehicle between 14 to 15 years old	29% of the cost of the vehicle
Vehicle that is not more than 15 years	25% of the cost of the vehicle

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Road Tax on Four-Wheelers

The road tax relies on the use and the classification of the four-wheeler.

The tax rates are as follows:

Vehicle Category	Tax Rate
New vehicle cost less than Rs. 5 lakh	13% of the cost of the vehicle
New vehicle cost between Rs. 5 lakh to 10 lakh	14% of the cost of the vehicle
New vehicle cost between Rs. 10 lakh to 20 lakh	17% of the cost of the vehicle
New vehicle that cost more than Rs. 20 lakh	18% of the cost of the vehicle
Electric vehicles	4% of the cost of the vehicle
Vehicles that are below 5 years old	75% to 93% as per clause A
Vehicles that are 5 years to 10 years old	49% to 69% as per clause A
Vehicles that are up to 10 to 15 years old	45% to 25% as per clause A

Apart from these Taxes, there is a separate tax rate for classic and vintage cars registered in Karnataka. A vehicle owner should pay the lifetime tax only once:

Classic Cars- Rs. 1000
Vintage Cars- Rs. 500

Tax on Imported Vehicle

If you have imported a vehicle, then the cost of the vehicle, custom duty and any other cost incurred in bringing the vehicle will be considered while calculating Vahan tax.

Tax for Vehicle Registered in the Other States

Currently, if someone is operating a vehicle in Karnataka, which has been registered in other states, then lifetime tax need not be paid unless the vehicle is used for more than 1 year.

How to Pay Road Tax in Karnataka?

The tax can be paid at the time of registering the vehicle. Visit nearest Regional Transport Offices (RTO) in the state, fill the form and provide your registration documents. Once the payment is done, you will receive a Receipt for the payment. Keep the receipt safe for future references.

FAQs

1. When was the Karnataka road tax implemented?

A: The Karnataka road tax was initially implemented in 1957. However, the Act has undergone numerous changes. Presently it covers all vehicles that have been registered in any of the thirty districts of Karnataka. The road tax has been levied under the Karnataka Motor Vehicles Taxation Act.

2. How is road tax calculated in Karnataka?

A: Like other states in India in Karnataka, the road tax is calculated based on the age, weight, seating capacity, cost of the vehicle, and the vehicle's price during registration. However, in the tax for two-wheelers is calculated separately and is lower compared to four-wheelers.

3. How is the tax on two-wheelers calculated in Karnataka?

A: The tax on two-wheelers is calculated based on the cost and age of the vehicle. For example, for a new two-wheeler that is priced below Rs. 50,000 the tax is levied at 10% of the cost of the vehicle.

4. Is the showroom price of the vehicle considered while calculating the road tax?

A: Yes, while calculating road tax in Karnataka, the ex-showroom price of the vehicle is considered. You will have to check the vehicle's on-road price to understand the amount you have to pay as road tax in this state.

5. Who has to pay road tax in Karnataka?

A: Anyone who owns a registered vehicle in any one of the twenty districts of Karnataka has to pay road tax to the State Government. However, if you have bought a vehicle from outside Karnataka, but use it to ply it on the state's roads, you need to register the vehicle in the state. Once you have registered the vehicle, you will need to pay road tax.

6. What are the taxation guidelines for four-wheelers?

A: When you calculate the road tax for four-wheelers, you will have to ensure that the vehicle is used for domestic purposes and does not take up floor space of more than five square meters. While calculating the road tax for four-wheelers, you will also have to consider the vehicle's cost and age.

7. Are the taxation guidelines different for classic and vintage cars in Karnataka?

A: Yes, the taxation guidelines for classic and vintage cars different in Karnataka. You have to pay a lifetime road tax only once, which has been fixed at Rs for a classic car. 1000. For a vintage car to you will have to pay a lifetime road tax, which has been fixed at Rs.500.

8. Is there separate taxation for imported vehicles?

A: In the case of imported vehicles, the vehicles' price is usually higher, and hence the tax amounts will be higher. Along with that, you will have to Factor in the customs duty and the registration process. Once the registration is completed, you will understand the tax value of a registered vehicle.

9. How can I pay road tax in Karnataka?

A: You can pay road tax in Karnataka by visiting the Regional Transport office (RTO) and making the payment by cash or Demand Draft (DD). You will also need to fill out a form to give details about the vehicle and provide relevant documents such as registration documents, sales invoices, and other such documents. Once you have calculated the tax amount and the taxation period, you can make the payment.

10. Is it essential to keep the receipt for the road tax payment?

A: Yes, it is essential that you safely store the receipt for the road tax payment for future references.

11. How much would road tax for 5 year used vehicle Delhi registered, which is to be registered in Karnataka value will be? The vehicle value is Rs. 10 lac.

A: When a car is purchased in Delhi and has to be registered again in Karnataka, you will have to pay a lifetime road tax to the Karnataka Government. The taxation rate is calculated based on the age of the vehicle and its price. For cars aged between 5 to 10 years, the tax rate is calculated between 49% and 69% as per Clause A. For a 5 year-old vehicle that is priced at Rs. 10,00,000 let us consider that the tax rate is 49% as per Clause A. According to this, the tax amount payable is Rs. 125,874.00. However, there might be specific changes in the amount payable; for instance, if you are using an imported vehicle, the taxation will be different.

Similarly, for a vehicle that does not use fossil fuel, the rate of taxation will be different. Hence, calculating the road tax will not depend entirely on the vehicle's age and price; it will also depend on the engine, seating capacity, usage, and other similar factors. Moreover, as you will be paying the Karnataka road tax only once in a lifetime, you must get the tax amount evaluated adequately before making the payment.

Disclaimer:
All efforts have been made to ensure the information provided here is accurate. However, no guarantees are made regarding correctness of data. Please verify with scheme information document before making any investment.